Document and Entity Information Document (USD $)	12 Months Ended
Document and Entity Information Document (USD $)	Dec. 31, 2014	Feb. 25, 2015	Jun. 30, 2014
Document Information [Line Items]
Entity Registrant Name	NAUTILUS, INC.
Entity Central Index Key	0001078207
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Document Type	10-K
Document Period End Date	Dec. 31, 2014
Document Fiscal Year Focus	2014
Document Fiscal Period Focus	FY
Amendment Flag	false
Entity Common Stock, Shares Outstanding		31,365,817
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Public Float			$ 346,878,044

Consolidated Balance Sheets (USD $) In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
Current assets:
Cash and cash equivalents	$ 45,206	$ 40,979
Available-for-sale securities	26,984	0
Trade receivables, net of allowances of $108 and $53	26,260	25,336
Inventories, net	24,896	15,824
Prepaids and other current assets	6,987	6,927
Income taxes receivable	50	80
Deferred income tax assets	12,368	4,441
Total current assets	142,751	93,587
Property, plant and equipment, net	9,634	8,499
Goodwill	2,520	2,740
Other intangible assets, net	10,575	12,615
Long-term deferred income tax assets	9,546	25,725
Other assets	628	401
Total assets	175,654	143,567
Liabilities and Shareholders' Equity
Trade payables	47,574	37,192
Accrued liabilities	9,851	9,123
Warranty obligations, current portion	2,246	1,610
Total current liabilities	59,671	47,925
Warranty obligations, non-current	0	28
Income taxes payable, non-current	3,725	2,577
Other long-term liabilities	1,186	1,472
Total liabilities	64,582	52,002
Commitments and contingencies (Note 17)
Common stock - no par value, 75,000 shares authorized, 31,333 and 31,162 shares issued and outstanding	8,033	6,769
Retained earnings	103,347	84,552
Accumulated other comprehensive income (loss)	(308)	244
Total shareholders' equity	111,072	91,565
Total liabilities and shareholders' equity	$ 175,654	$ 143,567

Consolidated Balance Sheets (Parentheticals) (USD $) In Thousands, except Per Share data, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
Condensed Consolidated Balance Sheet Parenthetical [Abstract]
Allowance for Doubtful Accounts Receivable, Current	$ 108	$ 53
Common stock, par value	$ 0	$ 0
Common stock, shares authorized	75,000	75,000
Common stock, shares issued	31,333	31,162
Common stock, shares outstanding	31,333	31,162

Consolidated Statements of Operations (USD $) In Thousands, except Per Share data, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Income Statement [Abstract]
Net sales	$ 274,447	$ 218,803	$ 193,926
Cost of sales	133,872	112,326	102,889
Gross profit	140,575	106,477	91,037
Operating expenses:
Selling and marketing	81,059	66,486	58,617
General and administrative	22,131	18,705	17,669
Research and development	7,231	5,562	4,163
Total operating expenses	110,421	90,753	80,449
Operating income	30,154	15,724	10,588
Other income (expense):
Interest income	63	14	18
Interest expense	(25)	(36)	56
Other	32	337	(246)
Total other income (expense)	70	315	(172)
Income from continuing operations before income taxes	30,224	16,039	10,416
Income tax provision (benefit)	9,841	(32,085)	(226)
Income from continuing operations	20,383	48,124	10,642
Discontinued operations:
Income (loss) from discontinued operations before income taxes	(1,134)	(559)	6,007
Income tax provision (benefit) of discontinued operations	454	(389)	(234)
Income (loss) from discontinued operations	(1,588)	(170)	6,241
Net income	$ 18,795	$ 47,954	$ 16,883
Basic net income per share
Basic income per share from continuing operations (in dollars per share)	$ 0.65	$ 1.55	$ 0.34
Basic income (loss) per share from discontinued operations (in dollars per share)	$ (0.05)	$ (0.01)	$ 0.21
Basic net income per share (in dollars per share)	$ 0.60	$ 1.54	$ 0.55
Diluted net income per share
Diluted income per share from continuing operations (in dollars per share)	$ 0.64	$ 1.53	$ 0.34
Diluted income (loss) per share from discontinued operations (in dollars per share)	$ (0.05)	$ (0.01)	$ 0.21
Diluted net income per share (in dollars per share)	$ 0.59	$ 1.52	$ 0.55
Shares used in per share calculations:
Basic (in shares)	31,253	31,072	30,851
Diluted (in shares)	31,688	31,457	30,974

Consolidated Statements Of Comprehensive Income (Loss) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Statement of Comprehensive Income [Abstract]
Net income	$ 18,795	$ 47,954	$ 16,883
Other Comprehensive Income (Loss), Net of Tax [Abstract]
Unrealized loss on marketable securities, net of income tax benefit of $(11), $0 and $0	(18)	0	0
Foreign currency translation, net of income tax provision (benefit) of $15, $20 and $(9)	(534)	(381)	(83)
Comprehensive income	$ 18,243	$ 47,573	$ 16,800

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References+ Details

Consolidated Statements of Comprehensive Income (Parenthetical) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Statement of Comprehensive Income [Abstract]
Other Comprehensive Income (Loss), Unrealized Holding Gain (Loss) on Securities Arising During Period, Tax	$ (11)	$ 0	$ 0
Foreign currency translation tax provision (benefit)	$ 15	$ 20	$ (9)

Consolidated Statements of Stockholders' Equity (USD $) In Thousands, unless otherwise specified	Total	Common Stock [Member]	Retained Earnings [Member]	Accumulated Other Comprehensive Income (Loss) [Member]
Balance at Dec. 31, 2011	$ 31,953
Balance, shares at Dec. 31, 2011		30,747
Other Comprehensive Income (Loss), Unrealized Holding Gain (Loss) on Securities Arising During Period, Tax	0
Common Stocks, Including Additional Paid in Capital		6,103
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	16,883		16,883
Unrealized loss on marketable securities, net of income tax benefit of $(11)	0
Foreign currency translation adjustment, including income tax expense (benefit)	(83)			(83)
Reclassification of foreign currency translation gains to income upon substantial liquidation of subsidiaries				(6,170)
Foreign currency translation tax provision (benefit)	(9)
Stock-based compensation expense	630	630
Common stock issued under equity compensation plan, shares		177
Common stock issued under equity compensation plan	113	113
Retained earnings			36,598
Accumulated other comprehensive income (loss)				625
Balance at Dec. 31, 2012	43,326
Balance, shares at Dec. 31, 2012		30,924
Other Comprehensive Income (Loss), Unrealized Holding Gain (Loss) on Securities Arising During Period, Tax	0
Common Stocks, Including Additional Paid in Capital		6,769
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	47,954		47,954
Unrealized loss on marketable securities, net of income tax benefit of $(11)	0
Foreign currency translation adjustment, including income tax expense (benefit)	(381)			(381)
Foreign currency translation tax provision (benefit)	20
Stock-based compensation expense	454	454
Common stock issued under equity compensation plan, shares		238
Common stock issued under equity compensation plan	357	357
Tax deficiency related to stock-based awards	(145)
Retained earnings	84,552		84,552
Accumulated other comprehensive income (loss)	244			244
Balance at Dec. 31, 2013	91,565
Balance, shares at Dec. 31, 2013		31,162
Other Comprehensive Income (Loss), Unrealized Holding Gain (Loss) on Securities Arising During Period, Tax	(11)
Common Stocks, Including Additional Paid in Capital		8,033
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	18,795		18,795
Unrealized loss on marketable securities, net of income tax benefit of $(11)	(18)			(18)
Foreign currency translation adjustment, including income tax expense (benefit)	(534)			(534)
Foreign currency translation tax provision (benefit)	15
Stock-based compensation expense	1,066	1,066
Common stock issued under equity compensation plan, shares		171
Common stock issued under equity compensation plan	378	378
Tax deficiency related to stock-based awards	(180)
Retained earnings	103,347		103,347
Accumulated other comprehensive income (loss)	(308)			(308)
Balance at Dec. 31, 2014	$ 111,072
Balance, shares at Dec. 31, 2014		31,333

Consolidated Statements of Cash Flows (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Cash flows from operating activities:
Income from continuing operations	$ 20,383	$ 48,124	$ 10,642
Income (loss) from discontinued operations	(1,588)	(170)	6,241
Net income	18,795	47,954	16,883
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	4,024	3,344	3,269
Bad debt expense (reduction)	104	588	(13)
Inventory lower-of-cost-or-market adjustments	457	557	402
Stock-based compensation expense	1,066	454	630
(Gain) loss on asset disposals	145	2	(30)
Deferred income taxes, net of valuation allowances	8,007	(32,814)	145
Excess tax deficiency related to stock-based awards	180	145	0
Reclassification of foreign currency translation gains to income upon substantial liquidation of subsidiaries	0	0	(6,170)
Changes in operating assets and liabilities:
Trade receivables	(1,331)	(4,417)	1,928
Inventories	(9,560)	2,388	(7,573)
Prepaids and other current assets	(314)	(1,174)	(1,314)
Income taxes receivable	30	(91)	464
Trade payables	10,456	4,487	4,189
Accrued liabilities, including warranty obligations	2,313	(337)	3
Net cash provided by operating activities	34,372	21,086	12,813
Cash flows from investing activities:
Proceeds from sale of discontinued operations	0	116	410
Proceeds from other asset sales	0	5	6
Purchases of software and equipment	(3,181)	(3,590)	(2,442)
Purchases of available-for-sale-securities	(37,434)	0	0
Proceeds from maturities of available-for-sale securities	10,450	0	0
Net cash used in investing activities	(30,165)	(3,469)	(2,026)
Cash flows from financing activities:
Repayment of long-term borrowings	0	0	(5,000)
Proceeds from exercise of stock options	378	357	113
Excess tax deficiency related to stock-based awards	(180)	(145)	0
Net cash provided by (used in) financing activities	198	212	(4,887)
Effect of exchange rate changes on cash and cash equivalents	(178)	(57)	(120)
Increase in cash and cash equivalents	4,227	17,772	5,780
Cash and cash equivalents, beginning of year	40,979	23,207	17,427
Cash and cash equivalents, end of year	45,206	40,979	23,207
Supplemental disclosure of cash flow information:
Cash paid for income taxes, net	(923)	(450)	(277)
Cash paid for interest	(25)	(36)	(544)
Capital expenditures incurred but not yet paid	$ 86	$ 0	$ 0

Significant Accounting Policies

12 Months Ended

Dec. 31, 2014

Accounting Policies [Abstract]

Significant Accounting Policies

SIGNIFICANT ACCOUNTING POLICIES

Organization and Business

Nautilus was founded in 1986 and incorporated in the State of Washington in 1993. Our headquarters are located in Vancouver, Washington.

We are committed to providing innovative, quality solutions to help people achieve their fitness goals through a fit and healthy lifestyle. Our principal business activities include designing, developing, sourcing and marketing high-quality cardio and strength fitness products and related accessories for consumer use, primarily in the United States and Canada, but also in international markets outside North America. Our products are sold under some of the most-recognized brand names in the fitness industry: Nautilus^®, Bowflex^®, Schwinn^® and Universal^®.

We market our products through two distinct distribution channels, Direct and Retail, which we consider to be separate business segments. Our Direct business offers products directly to consumers through television advertising, catalogs and the Internet. Our Retail business offers our products through a network of independent retail companies with stores and websites located in the United States and internationally. We also derive a portion of our revenue from the licensing of our brands and intellectual property.

Basis of Presentation

The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and relate to Nautilus, Inc. and its subsidiaries, all of which are wholly-owned, directly or indirectly. Intercompany transactions and balances have been eliminated in consolidation.

Discontinued Operations

Results from discontinued operations relate to the disposal of our former Commercial business, which began in 2009 and was completed in April 2011. We reached substantial completion of asset liquidation at December 31, 2012. However, we continue to have legal and accounting expenses as we work with authorities on final deregistration of each entity and product liability and other legal expenses associated with product previously sold into the Commercial channel.

Results of operations related to the Commercial business have been presented in the consolidated financial statements as discontinued operations for all periods presented.

Use of Estimates

The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues, and expenses and the disclosure of contingent assets and liabilities in the financial statements. Our most significant estimates relate to the following:


•	Revenue recognition;


•	Sales discounts and allowances;


•	Allowance for uncollectible trade receivables;


•	Valuation of excess and obsolete inventory;


•	Goodwill and other long-term assets valuation;


•	Product warranty obligations;


•	Litigation and loss contingencies;


•	Deferred tax assets and the related valuation allowance; and


•	Unrecognized tax benefits.

Actual results could differ from our estimates.

Concentrations

Financial instruments that potentially subject us to concentrations of credit risk consist principally of cash and cash equivalents held in bank accounts in excess of federally-insured limits and trade receivables. Trade receivables are generally unsecured and therefore collection is affected by the economic conditions in each of our principal markets.

We rely on third-party contract manufacturers in Asia for substantially all of our products and for certain product engineering support. Business operations could be disrupted by natural disasters, difficulties in transporting products from non-U.S. suppliers, as well as political, social or economic instability in the countries where contract manufacturers or their vendors or customers conduct business. While any such contract manufacturing arrangement could be replaced over time, the temporary loss of the services of any primary contract manufacturer could delay product shipments and cause a significant disruption in our operations.

We derive a significant portion of our Net Sales from a small number of our Retail customers. A loss of business from one or more of these large customers, if not replaced with new business, would negatively affect our operating results and cash flows. In 2014, 2013 and 2012, one customer accounted for more than 10%, but less than 15%, of our Net Sales.

Cash and Cash Equivalents

All highly liquid investments with maturities of three months or less at purchase are considered to be cash equivalents. As of December 31, 2014, cash equivalents consisted of money market funds, certificates of deposit, commercial paper, and variable-rate demand notes and totaled $24.1 million. As of December 31, 2013, we did not have any cash equivalents.

Available-For-Sale Securities

We classify our marketable securities as available-for-sale and, accordingly, record them at fair value. Marketable securities with original maturities of greater than three months and remaining maturities of less than one year are classified as short-term investments. Investments with maturities beyond one year may be classified as short-term based on their highly liquid nature and because such marketable securities represent the investment of cash that is available for current operations. Unrealized holding gains and losses, which are immaterial, are excluded from earnings and are reported net of tax in other comprehensive income until realized. Dividend and interest income is recognized when earned. Realized gains and losses, which were immaterial in 2014, are included in earnings and are derived using the specific identification method for determining the cost of securities sold.

We periodically evaluate whether declines in fair values of our investments below their cost are "other-than-temporary." This evaluation consists of qualitative and quantitative factors regarding the severity and duration of the unrealized loss, as well as our ability and intent to hold the investment until a forecasted recovery occurs.

For additional information, refer to Note 3, Fair Value Measurements.

Inventories

Inventories are stated at the lower of cost or market, with cost determined based on the first-in, first-out method. We establish inventory allowances for excess, slow-moving and obsolete inventory based on inventory levels, expected product life and forecasted sales. Inventories are written down to market value based on historical demand, competitive factors, changes in technology and product lifecycles.

Property, Plant and Equipment

Property, plant and equipment is stated at cost, net of accumulated depreciation. Improvements or betterments which add new functionality or significantly extend the life of an asset are capitalized. Expenditures for maintenance and repairs are expensed as incurred. The cost of assets retired, or otherwise disposed of, and the related accumulated depreciation, are removed from the accounts at the time of disposal. Gains and losses resulting from asset sales and dispositions are recognized in the period in which assets are disposed. Depreciation is recognized, using the straight-line method, over the lesser of the estimated useful lives of the assets or, in the case of leasehold improvements, the lease term, including renewal periods if we expect to exercise our renewal options. Depreciation on computer equipment, machinery and equipment and furniture and fixtures is determined based on estimated useful lives, which generally range from three-to-seven years.

Goodwill

Goodwill consists of the excess of acquisition costs over the fair values of net assets acquired in business combinations. We review goodwill for impairment in the fourth quarter of each year and when events or changes in circumstances indicate that the carrying amount may be impaired. For this purpose, goodwill is evaluated at the reporting unit level. Our goodwill is an asset of our Direct reporting unit. We performed an assessment of goodwill in the fourth quarters of 2014, 2013 and 2012 and concluded that circumstances did not more likely than not indicate an impairment had occurred. For further information regarding goodwill, see Note 7, Goodwill.

Other Intangible Assets

Finite-lived intangible assets, primarily acquired patents and patent rights, are stated at cost, net of accumulated amortization. We recognize amortization expense for our finite-lived intangible assets on a straight-line basis over the estimated useful lives.

Indefinite-lived intangible assets consist of acquired trademarks. Indefinite-lived intangible assets are stated at cost and are not amortized; instead, they are tested for impairment at least annually. We review our acquired trademarks for impairment in the fourth quarter of each year and when events or changes in circumstances indicate that the assets may be impaired. The fair value of trademarks is estimated using the relief from royalty method to estimate the value of the cost savings and a discounted cash flows method to estimate the value of future income. The sum of these two values for each trademark is the fair value of the trademark. If the carrying amount of trademarks exceeds the estimated fair value, we calculate impairment as the excess of carrying amount over the estimate of fair value. We tested our acquired trademarks for impairment in the fourth quarters of 2014, 2013 and 2012 and determined that no impairment was indicated. For further information regarding other intangible assets, see Note 8, Other Intangible Assets.

Impairment of Long-Lived Assets

Long-lived assets, including property, plant and equipment and finite-lived intangible assets, are evaluated for impairment when events or circumstances indicate the carrying value may be impaired. When such an event or condition occurs, we estimate the future undiscounted cash flows to be derived from the use and eventual disposition of the asset to determine whether a potential impairment exists. If the carrying value exceeds estimated future undiscounted cash flows, we record impairment expense to reduce the carrying value of the asset to its estimated fair value. No impairment charges were recorded in 2014, 2013 or 2012.

Revenue Recognition

Direct and Retail product sales and shipping revenues are recorded when products are shipped and title passes to customers. In most instances, Retail sales to customers are made pursuant to a sales contract that provides for transfer of both title and risk of loss to the customer upon our delivery to the carrier. For Direct sales, revenue is generally recognized when products are shipped. Revenue is recognized net of applicable sales incentives, such as promotional discounts, rebates and return allowances. We estimate the revenue impact of incentive programs based on the planned duration of the program and historical experience.

Many Direct business customers finance their purchases through a third-party credit provider, for which we pay a commission or financing fee to the credit provider. Revenue for such transactions is recognized based on the sales price charged to the customer and the related commission or financing fee is included in Selling and Marketing expense.

Sales Discounts and Returns Allowance

Product sales and shipping revenues are reported net of promotional discounts and return allowances. We estimate the revenue impact of retail sales incentive programs based on the planned duration of the program and historical experience. If the amount of sales incentives is reasonably estimable, the impact of such incentives is recorded at the later of the time the customer is notified of the sales incentive or the time of the sale. We estimate our liability for product returns based on historical experience and record the expected obligation as a reduction of revenue. If actual return costs differ from previous estimates, the amount of the liability and corresponding revenue are adjusted in the period in which such costs occur. Activity in our sales discounts and returns allowance was as follows (in thousands):



	2014			2013			2012
Balance, January 1	$	4,106		$	4,990		$	5,113
Charges to reserve	15,285			13,345			11,730
Reductions for sales discounts and returns	(15,095		)	(14,229		)	(11,853		)
Balance, December 31	$	4,296		$	4,106		$	4,990

Taxes Collected from Customers and Remitted to Governmental Authorities

Taxes collected from customers and remitted to governmental authorities are recorded on a net basis and excluded from revenue.

Shipping and Handling Fees

Shipping and handling fees billed to customers are recorded gross and included in both revenue and cost of sales.

Cost of Sales

Cost of Sales primarily consists of: inventory costs; royalties paid to third parties; employment and occupancy costs of warehouse and distribution facilities, including depreciation of improvements and equipment; transportation expenses; product warranty expenses; distribution information systems expenses; and allocated expenses for shared administrative functions.

Product Warranty Obligations

Our products carry limited, defined warranties for defects in materials or workmanship which, according to their terms, generally obligate us to pay the costs of supplying and shipping replacement parts to customers and, in certain instances, pay for labor and other costs to service products. Outstanding product warranty periods range from thirty days to, in limited circumstances, the lifetime of certain product components. We record a liability at the time of sale for the estimated costs of fulfilling future warranty claims. If necessary, we adjust the liability for specific warranty-related matters when they become known and are reasonably estimable. Estimated warranty expense is included in Cost of Sales, based on historical warranty claim experience and available product quality data. Warranty expense is affected by the performance of new products, significant manufacturing or design defects not discovered until after the product is delivered to the customer, product failure rates, and higher or lower than expected repair costs. If warranty expense differs from previous estimates, or if circumstances change such that the assumptions inherent in previous estimates are no longer valid, the amount of product Warranty Obligations is adjusted accordingly.

Litigation and Loss Contingencies

From time to time, we may be involved in various claims, lawsuits and other proceedings. These legal and tax proceedings involve uncertainty as to the eventual outcomes and losses which may be realized when one or more future events occur or fail to occur. We record expenses for litigation and loss contingencies as a component of General and Administrative expense when it is probable that a liability has been incurred and the amount of the loss can be reasonably estimated. When a loss contingency is not both probable and estimable, we do not establish an accrued liability. However, if the loss (or an additional loss in excess of the accrual) is at least a reasonable possibility and material, then we disclose an estimate of the possible loss or range of loss, if such estimate can be made, or disclose that an estimate cannot be made.

Advertising and Promotion

We expense our advertising and promotion costs as incurred. Production costs of television advertising commercials are recorded as prepaid expenses until the initial broadcast, at which time such costs are expensed. Advertising and promotion costs are included in Selling and Marketing expenses and totaled $42.6 million, $35.8 million and $30.9 million for the years ended December 31, 2014, 2013 and 2012, respectively. Prepaid advertising and promotion costs were $1.4 million and $2.2 million as of December 31, 2014 and 2013, respectively.

Research and Development

Internal research and development costs, which primarily consist of salaries and wages, employee benefits, expenditures for materials, and fees to use licensed technologies, are expensed as incurred. Third party research and development costs for products under development or being researched, if any, are expensed as the contracted work is performed.

Income Taxes

We account for income taxes based on the asset and liability method, whereby deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using the enacted tax rates expected to be in effect when the temporary differences are expected to be included, as income or expense, in the applicable tax return. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in the period of the enactment. Valuation allowances are provided against deferred income tax assets if we determine it is more likely than not that such assets will not be realized.

Unrecognized Tax Benefits

We recognize a tax benefit from an uncertain tax position when it is more likely than not that the position will be sustained based on the technical merits of the position upon examination, including resolutions of any related appeals or litigation.

Foreign Currency Translation

We translate the accounts of our non-U.S. subsidiaries into U.S. dollars as follows: revenues, expenses, gains and losses are translated at weighted-average exchange rates during the year; and assets and liabilities are translated at the exchange rate on the balance sheet date. Translation gains and losses are reported in our Consolidated Balance Sheets as a component of Accumulated Other Comprehensive Income. In the fourth quarter of 2012, we substantially completed the liquidation of our investment in foreign subsidiaries formerly associated with the Commercial business. As a result, an accumulated translation adjustment of $6.2 million was removed from accumulated other comprehensive income and recognized as a gain of the discontinued operations.

Gains and losses arising from foreign currency transactions, including transactions between us and our non-U.S. subsidiaries, are recorded as a component of Other Income (Expense) in our Consolidated Statements of Operations.

Fair Value of Financial Instruments

The carrying values of Cash and Cash Equivalents, Trade Receivables, Prepaids and Other Current Assets, Trade Payables and Accrued Liabilities approximate fair value due to their short maturities.

For additional information on financial instruments recorded at fair value on a recurring basis as of December 31, 2014, refer to Note 3, Fair Value Measurements. We did not have any financial instruments that were recorded at fair value on a recurring basis at December 31, 2013.

Stock-Based Compensation

We recognize stock-based compensation expense on a straight-line basis over the applicable vesting period, based on the grant-date fair value of the award. To the extent a stock-based award is subject to performance conditions, the amount of expense recorded in a given period, if any, reflects our assessment of the probability of achieving the performance targets.

Fair value of stock options is estimated using the Black-Scholes-Merton option valuation model; fair value of performance share unit awards and restricted stock unit awards is based on the closing market price on the day preceding the grant.

Income Per Share Amounts

Basic income per share amounts were computed using the weighted average number of common shares outstanding. Diluted income per share amounts were calculated using the number of basic weighted average shares outstanding increased by dilutive potential common shares related to stock-based awards, as determined by the treasury stock method.

New Accounting Pronouncements

ASU 2015-01

In January 2015, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2015-01, “Income Statement – Extraordinary and Unusual Items (Subtopic 225-20).” ASU 2015-01 simplifies income statement presentation by eliminating the concept of extraordinary items. ASU 2015-01 is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015, with early adoption permitted provided that the guidance is applied from the beginning of the fiscal year of adoption. The adoption of ASU 2015-01 will not have any effect on our financial position, results of operations or cash flows.

ASU 2014-17

In November 2014, the FASB issued ASU No. 2014-17, "Business Combinations (Topic 805)". ASU 2014-17 provides guidance on whether and at what threshold an acquired entity that is a business or nonprofit entity (either public or nonpublic), can apply pushdown accounting in its separate financial statements upon the occurrence of an event in which an acquirer obtains control of the acquired entity. ASU 2014-17 was effective on November 18, 2014. Since ASU 2014-17 relates to pushdown accounting in separate financial statements upon the occurrence of an event whereby an acquirer obtains control of an acquired entity, our adoption of ASU 2014-17 in November 2014 did not have any effect on our financial position, results of operations or cash flows.

ASU 2014-16

In November 2014, the FASB issued ASU No. 2014-16, "Derivatives and Hedging (Topic 815)". ASU 2014-16 provides guidance to all entities that are issuers of, or investors in, hybrid financial instruments that are issued in the form of a share. The objective of ASU 2014-16 is to eliminate the use of different methods in practice and thereby reduce existing diversity under GAAP in the accounting for these financial instruments. ASU 2014-16 is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. Early adoption, including adoption in an interim period, is permitted. We do not expect the adoption of ASU 2014-16 to have a material effect on our financial position, results of operations or cash flows.

ASU 2014-15

In August 2014, the FASB issued ASU No. 2014-15, "Presentation of Financial Statements - Going Concern (Subtopic 205-40)". ASU 2014-15 provides guidance related to management's responsibility to evaluate whether there is substantial doubt about an entity's ability to continue as a going concern and to provide related footnote disclosure. ASU 2014-15 is effective for annual periods ending after December 15, 2016, and for interim and annual periods thereafter. Early application is permitted. We do not expect the adoption of ASU 2014-15 to have a material effect on our financial position, results of operations or cash flows.

ASU 2014-12

In June 2014, the FASB issued ASU No. 2014-12, "Compensation - Stock Compensation (Topic 718)". ASU No. 2014-12 addresses accounting for share-based payments when the terms of an award provide that a performance target could be achieved after the requisite service period. ASU 2014-12 indicates that, in such situations, the performance target should be treated as a performance condition and, accordingly, the performance target should not be reflected in estimating the grant-date fair value of the award. Instead, compensation cost should be recognized in the period in which it becomes probable that the performance target will be achieved. ASU 2014-12 is effective for annual periods and interim periods within those annual periods beginning after December 15, 2015. We do not expect the adoption of ASU 2014-12 to have a material effect on our financial position, results of operations or cash flows.

ASU 2014-09

In May 2014, the FASB issued ASU No. 2014-09, "Revenue from Contracts with Customers". ASU 2014-09 clarifies the principles for recognizing revenue and develops a common revenue standard for U.S. GAAP and the International Accounting Standards Board that:

• removes inconsistencies and weaknesses in revenue requirements;

• provides a more robust framework for addressing revenue issues;

• improves comparability of revenue recognition practices across entities, industries, jurisdictions and capital markets;

• provides more useful information to users of financial statements through improved disclosure requirements; and

• simplifies the preparation of financial statements by reducing the number of requirements to which an entity must refer.

ASU 2014-09 is effective for annual and interim periods beginning on or after December 15, 2016. While we do not expect the adoption of ASU 2014-09 to have a material effect on our business, we are still evaluating any potential impact that adoption of

ASU 2014-09 may have on our financial position, results of operations or cash flows.

ASU 2014-08

In April 2014, the FASB issued ASU No. 2014-08, "Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360) and Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity". ASU 2014-08 amends the definition for what types of asset disposals are to be considered discontinued operations, and amends the required disclosures for discontinued operations and assets held for sale. ASU 2014-08 also enhances the convergence of the FASB’s and the International Accounting Standard Board’s reporting requirements for discontinued operations. ASU 2014-08 is effective for annual periods beginning on or after December 15, 2014, and interim periods within annual periods beginning on or after December 15, 2015. We do not expect the adoption of ASU 2014-08 to have a material effect on our financial position, results of operations or cash flows.

ASU 2013-11

In July 2013, the FASB issued ASU No. 2013-11, "Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists". ASU 2013-11 amends the guidance related to the presentation of unrecognized tax benefits and allows for the reduction of a deferred tax asset for a net operating loss ("NOL") carryforward whenever the NOL or tax credit carryforward would be available to reduce the additional taxable income or tax due if the tax position is disallowed. ASU 2013-11 was effective for annual and interim periods for fiscal years beginning after December 15, 2013. Since ASU 2013-11 relates only to the presentation of unrecognized tax benefits, our adoption of ASU 2013-11 in January 2014 did not have a material effect on our financial position, results of operations or cash flows.

- Definition

The entire disclosure for all significant accounting policies of the reporting entity.

+ References+ Details

Discontinued Operation

12 Months Ended

Dec. 31, 2014

Discontinued Operations and Disposal Groups [Abstract]

Discontinued Operation

DISCONTINUED OPERATIONS

Following is a summary of certain financial information regarding our discontinued operations (in thousands):



	Year Ended December 31,
	2014			2013			2012
Revenue	$	—		$	—		$	—
Loss from discontinued operations	(1,134		)	(559		)	(163		)
Reclassification of foreign currency translation gains to income upon substantial liquidation of subsidiaries	—			—			6,170
Income tax (provision) benefit	(454		)	389			234
Total income (loss) from discontinued operations	$	(1,588	)	$	(170	)	$	6,241

The following table summarizes liabilities for exit costs related to discontinued operations, included in Accrued Liabilities and Other Long-Term Liabilities in our Consolidated Balance Sheets (in thousands):



	Facilities Leases			Severance and Benefits
Balance as of January 1, 2012	$	1,929		$	175
Adjustments	(390		)	—
Payments	(421		)	(175		)
Balance as of December 31, 2012	1,118			—
Payments	(287		)	—
Balance as of December 31, 2013	831			—
Payments	(258		)	—
Balance as of December 31, 2014	$	573		$	—

We expect the lease obligations to be paid out through 2016.

- Definition

The entire disclosure for the facts and circumstances leading to the completed or expected disposal, manner and timing of disposal, the gain (loss) recognized in the income statement and the income statement caption that includes that gain (loss), amounts of revenues and pretax profit or loss reported in discontinued operations, the segment in which the disposal group was reported, and the classification (whether sold or classified as held for sale) and carrying value of the assets and liabilities comprising the disposal group. Includes all disposal groups, including those classified as components of the entity (discontinued operations).

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 360

-SubTopic 10

-Section 50

-Paragraph 3

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-Name Accounting Standards Codification

-Topic 205

-SubTopic 20

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-Paragraph 1

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Reference 3: http://www.xbrl.org/2003/role/presentationRef

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-Topic 205

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-Topic 205

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-Topic 205

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Reference 6: http://www.xbrl.org/2003/role/presentationRef

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-Name Accounting Standards Codification

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Reference 7: http://www.xbrl.org/2003/role/presentationRef

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-Name Accounting Standards Codification

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-Publisher FASB

-Name Accounting Standards Codification

-Topic 360

-SubTopic 10

-Section 45

-Paragraph 5

-URI http://asc.fasb.org/extlink&oid=8077374&loc=d3e2443-110228

+ Details

Fair Value Measurements (Notes)

12 Months Ended

Dec. 31, 2014

Fair Value Disclosures [Abstract]

Fair Value Measurements

(3) FAIR VALUE MEASUREMENTS

Factors used in determining the fair value of financial assets and liabilities are summarized into three broad categories:


•	Level 1 - observable inputs such as quoted prices (unadjusted) in active liquid markets for identical securities as of the reporting date;


•	Level 2 - other significant directly or indirectly observable inputs, including quoted prices for similar securities, interest rates, prepayment speeds and credit risk; or observable market prices in markets with insufficient volume and/or infrequent transactions; and


•	Level 3 - significant inputs that are generally unobservable inputs for which there is little or no market data available, including our own assumptions in determining fair value.

Assets measured at fair value on a recurring basis were as follows (in thousands):



	December 31, 2014
	Level 1		Level 2		Level 3		Total
Cash Equivalents
Money market funds	$	2,591	$	—	$	—	$	2,591
Certificates of deposit⁽¹⁾	—		980		—		980
Commercial paper	—		12,497		—		12,497
Variable rate demand notes	—		8,000		—		8,000
Total Cash Equivalents	2,591		21,477		—		24,068

Available-for-Sale Securities
Certificates of deposit⁽¹⁾	—		14,202		—		14,202
Corporate bonds	—		12,782		—		12,782
Total Available-for-Sale Securities	—		26,984		—		26,984

Total assets measured at fair value	$	2,591	$	48,461	$	—	$	51,052

⁽¹⁾ All certificates of deposit are within current FDIC insurance limits.

We did not have any assets or liabilities measured at fair value on a recurring basis as of December 31, 2013.

We recognize transfers between levels at the actual date of the event or change in circumstance that caused the transfer. There were no transfers between levels during the year ended December 31, 2014.

We did not have any changes to our valuation techniques during the year ended December 31, 2014.

We classify our marketable securities as available-for-sale and, accordingly, record them at fair value. Level 1 investments valuations are obtained from real-time quotes for transactions in active exchange markets involving identical assets. Level 2 investments valuations are obtained from inputs, other than quoted market prices in active markets, that are directly or indirectly observable in the marketplace and quoted prices in markets with limited volume or infrequent transactions. The factors or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. Unrealized holding gains and losses are excluded from earnings and are reported net of tax in other comprehensive income until realized. During the year ended December 31, 2014, we did not record any other-than-temporary impairments on our financial assets required to be measured at fair value on a nonrecurring basis.

We recognize or disclose the fair value of certain assets, such as non-financial assets, primarily Property, Plant and Equipment, Goodwill, Other Intangible Assets and certain other long-lived assets in connection with impairment evaluations. All of our nonrecurring valuations use significant unobservable inputs and therefore fall under Level 3 of the fair value hierarchy. Other than our annual Goodwill and indefinite-lived trade names impairment valuations effective as of October 1, 2014 and 2013, we did not perform any valuations on assets or liabilities that are valued at fair value on a nonrecurring basis.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References+ Details

Trade Receivables

12 Months Ended

Dec. 31, 2014

Receivables [Abstract]

Trade Receivables

TRADE RECEIVABLES

Trade receivables, net, consisted of the following (in thousands):



	December 31,
	2014			2013
Trade receivables	$	26,368		$	25,389
Allowance for doubtful accounts	(108		)	(53		)
	$	26,260		$	25,336

Changes in our allowance for doubtful trade receivables were as follows (in thousands):



	2014			2013			2012
Balance, January 1	$	53		$	93		$	300
Charges to (reversals of) bad debt expense	104			588			(13		)
Writeoffs, net of recoveries	(49		)	(628		)	(194		)
Balance, December 31	$	108		$	53		$	93

- Definition

The entire disclosure for claims held for amounts due a entity, excluding financing receivables. Examples include, but are not limited to, trade accounts receivables, notes receivables, loans receivables. Includes disclosure for allowance for credit losses.

+ References+ Details

Inventories

12 Months Ended

Dec. 31, 2014

Inventory Disclosure [Abstract]

Inventories

INVENTORIES

Inventories consisted of the following (in thousands):



	December 31,
	2014		2013
Finished goods	$	23,765	$	14,259
Parts and components	1,131		1,565
	$	24,896	$	15,824

- Definition

The entire disclosure for inventory. This may include, but is not limited to, the basis of stating inventory, the method of determining inventory cost, the major classes of inventory, and the nature of the cost elements included in inventory. If inventory is stated above cost, accrued net losses on firm purchase commitments for inventory and losses resulting from valuing inventory at the lower-of-cost-or-market may also be included. For LIFO inventory, may disclose the amount and basis for determining the excess of replacement or current cost over stated LIFO value and the effects of a LIFO quantities liquidation that impacts net income.

+ References+ Details

Property, Plant and Equipment

12 Months Ended

Dec. 31, 2014

Property, Plant and Equipment [Abstract]

Property, Plant and Equipment

PROPERTY, PLANT AND EQUIPMENT

Property, plant and equipment consisted of the following (in thousands):



	Estimated Useful Life (in years)			December 31,
	Estimated Useful Life (in years)			2014			2013
Automobiles	5			$	23		$	—
Leasehold improvements	5	to	20	2,144			2,869
Computer equipment	3	to	7	25,397			35,554
Machinery and equipment	3	to	5	6,709			5,648
Furniture and fixtures	5			1,108			688
Work in progress ⁽¹⁾	N/A			421			4,281
Total cost				35,802			49,040
Accumulated depreciation				(26,168		)	(40,541		)
				$	9,634		$	8,499

⁽¹⁾Work in progress includes production tooling construction in progress and, in 2013, internal use software development.

Depreciation expense was as follows (in thousands):



	Year Ended December 31,
	2014		2013		2012
Depreciation expense	$	1,983	$	1,254	$	1,199

- Definition

The entire disclosure for long-lived, physical assets used in the normal conduct of business and not intended for resale. Includes, but is not limited to, accounting policies and methodology, roll forwards, depreciation, depletion and amortization expense, including composite depreciation, accumulated depreciation, depletion and amortization expense, useful lives and method used, income statement disclosures, assets held for sale and public utility disclosures.

+ References+ Details

Other Intangible Assets

12 Months Ended

Dec. 31, 2014

Goodwill and Intangible Assets Disclosure [Abstract]

Other Intangible Assets

OTHER INTANGIBLE ASSETS

Other intangible assets consisted of the following (in thousands):



	Estimated Useful Life (in years)			December 31,
	Estimated Useful Life (in years)			2014			2013
Indefinite life trademarks	N/A			$	9,052		$	9,052
Patents	8	to	16	18,154			18,154
				27,206			27,206
Accumulated amortization - patents				(16,631		)	(14,591		)
				$	10,575		$	12,615

Amortization expense was as follows (in thousands):



	Year Ended December 31,
	2014		2013		2012
Amortization expense	$	2,040	$	2,050	$	2,050

Future amortization of patents is as follows (in thousands):



2015	$	828
2016	430
2017	143
2018	65
2019	35
Thereafter	22
	$	1,523

Borrowings	12 Months Ended
Borrowings	Dec. 31, 2014
Debt Disclosure [Abstract]
Borrowings	BORROWINGS Line of Credit On December 5, 2014, we entered into a Credit Agreement (the "Credit Agreement") with JPMorgan Chase Bank, N.A. ("Chase Bank") that provides for a $20.0 million maximum revolving secured credit line. The line of credit is available through December 5, 2017 for working capital, letters of credit and general corporate purposes. Borrowing availability under the Credit Agreement is subject to our compliance with certain financial and operating covenants at the time borrowings are requested. Letters of credit under the Credit Agreement are treated as a reduction of the available borrowing amount and are subject to covenant testing. The interest rate applicable to each advance under the Credit Agreement is based on either Chase Bank's floating prime rate or adjusted LIBOR, plus an applicable margin. Our borrowing rate was 1.17% as of December 31, 2014. The Credit Agreement contains customary covenants, including minimum fixed charge coverage ratio and asset coverage ratio, and limitations on capital expenditures, mergers and acquisitions, indebtedness, liens, dispositions, dividends and investments. Borrowings under the Credit Agreement are collateralized by substantially all of our assets pursuant to a continuing security agreement. The Credit Agreement also contains customary events of default. Upon an event of default, the lender may terminate its credit line commitment, accelerate all outstanding obligations and exercise its remedies under the continuing security agreement. As of December 31, 2014, we had no outstanding borrowings and $0.6 million in letters of credit issued under the Credit Agreement with expiration dates through April 2015. As of December 31, 2014, we were in compliance with the financial covenants of the Credit Agreement and approximately $19.4 million was available for borrowing. Related Party Note Payable On September 3, 2010, we entered into a Note Purchase Agreement (the “Purchase Agreement”) with certain entities (collectively, the “Sherborne Purchasers”) under common control of Sherborne Investors GP, LLC and its affiliates (collectively “Sherborne”). Sherborne was formerly our largest shareholder and is controlled by Edward J. Bramson, our former Chairman and Chief Executive Officer, and Craig L. McKibben, a former member of our Board of Directors. Pursuant to the Purchase Agreement, we issued to the Sherborne Purchasers $6.1 million in aggregate principal amount at maturity of Increasing Rate Senior Discount Notes (the “Notes”). The Notes had an original principal amount totaling $5.0 million and an original maturity date of December 31, 2012. On March 12, 2012, the maturity date of the Notes was automatically extended under certain terms of the Purchase Agreement to May 2, 2013. On July 19, 2011, beneficial interest in the Notes was assigned by the Sherborne Purchasers pro-rata to their respective investors in the manner permitted by the Purchase Agreement. Such assignment was made in connection with the resignation of Messrs. Bramson and McKibben from their respective positions with Nautilus on May 26, 2011, and the subsequent pro-rata distribution by certain Sherborne-affiliated entities to their respective investors of our common stock owned by such entities. We repaid all amounts outstanding under the Notes on March 30, 2012 and interest paid related to the Notes was $0.5 million during 2012 . If all of the Notes were paid on the original maturity date, the effective rate of interest over the term of the Purchase Agreement would have been approximately 8.7% per annum, which was the rate at which interest expense was accrued in periods preceding the repayment date. The actual effective rate of interest through the repayment date was approximately 6.4% per annum.

- Definition

The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants.

+ References+ Details

Income Taxes

12 Months Ended

Dec. 31, 2014

Income Tax Disclosure [Abstract]

Income Taxes

lowing is a reconciliation of the U.S. statutory federal income tax rate with our effective income tax rate for continuing operations:



	Year Ended December 31,
	2014		2013		2012
U.S. statutory income tax rate	35.0	%	35.0	%	35.0	%
State tax, net of U.S. federal tax benefit	2.5		2.9		1.1
Non-U.S. income taxes	(0.3	)	1.2		—
Nondeductible operating expenses	0.2		(0.4	)	0.4
Research and development credit	(2.4	)	(0.7	)	—
Change in deferred tax measurement rate	0.1		0.2		0.1
Change in uncertain tax positions	1.5		2.2		(6.5	)
Expiration of capital loss carryforward	—		26.9		—
Change in valuation allowance	(4.1	)	(267.6	)	(32.3	)
Other	0.1		0.2		—
Effective income tax rate	32.6	%	(200.1	)%	(2.2	)%

Deferred Income Taxes

Individually significant components of deferred income tax assets (liabilities) were as follows (in thousands):



	December 31,
	2014			2013
Deferred income tax assets:
Accrued liabilities	$	3,510		$	3,230
Allowance for doubtful accounts	33			20
Inventory valuation	377			312
Capitalized indirect inventory costs	295			159
Stock-based compensation expense	558			376
Net operating loss carryforward	19,742			35,635
Basis difference on long-lived assets	3,289			4,412
Credit carryforward	4,565			3,422
Other	339			332
Gross deferred income tax assets	32,708			47,898
Valuation allowance	(6,156		)	(12,944		)
Deferred income tax assets, net of valuation allowance	26,552			34,954
Deferred income tax liabilities:
Prepaid advertising	(467		)	(793		)
Other prepaids	(696		)	(592		)
Basis difference on long-lived assets	(3,355		)	(2,938		)
Undistributed earnings of foreign subsidiaries	(179		)	(177		)
Other	(1		)	(288		)
Deferred income tax liabilities	(4,698		)	(4,788		)
Net deferred income tax asset	$	21,854		$	30,166

Our net deferred income tax asset (liability) was recorded on our Consolidated Balance Sheets as follows (in thousands):



	December 31,
	2014			2013
Current deferred income tax assets	$	12,368		$	4,441
Non-current deferred income tax assets	9,546			25,725
Other long-term liabilities	(60		)	—
Net deferred income tax asset	$	21,854		$	30,166

The table of deferred tax assets and liabilities shown above does not include certain deferred tax assets as of December 31, 2014 and 2013, that arose directly from tax deductions related to equity compensation greater than compensation recognized for financial reporting. Instead, equity will be increased by $0.8 million if and when such deferred tax assets are ultimately realized. We use tax law ordering when determining when excess tax benefits have been realized.

We account for income taxes based on the asset and liability method, whereby deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts and the tax basis of existing assets and liabilities. We have recorded a valuation allowance to reduce our deferred income tax assets to the amount we believe is more likely than not to be realized. Evaluating the need for, and amount of, a valuation allowance for deferred tax assets often requires significant judgment and extensive analysis of all available evidence on a jurisdiction-by-jurisdiction basis. Such judgments require us to interpret existing tax law and other published guidance as applied to our circumstances. As part of this assessment, we consider both positive and negative evidence. The weight given to the potential effect of positive and negative evidence must be commensurate with the extent to which the strength of the evidence can be objectively verified.

During 2008, we determined that it was no longer more likely than not that the tax benefits from the existing U.S. deferred tax assets would be realized due to the substantial amount of the cumulative accounting losses realized in the recent years in the U.S. and the large taxable losses incurred in the U.S. in 2007 and 2008. Accordingly, we established a full valuation allowance against our U.S. net deferred tax assets in 2008.

Each quarter, we assess the total weight of positive and negative evidence including cumulative income or loss for the past three years and forecasted taxable income and re-evaluate whether any adjustments or release of all or any portion of valuation allowance is appropriate. As a result of this evaluation, in the second quarter of 2013, we concluded that a majority of the existing valuation allowance on our domestic deferred income tax assets was no longer required, accordingly, a tax benefit of $38.9 million was recorded during 2013 related to the reduction of our existing valuation allowance. Further in the fourth quarter of 2014, after re-evaluating the potential realization of the remainder of our deferred income tax assets, we concluded that, as of December 31, 2014, a portion of the existing valuation allowance against state net operating loss deferred tax assets was no longer necessary. Accordingly, an income tax benefit of $1.2 million was recorded in the fourth quarter of 2014 related to the reduction of our existing valuation allowance.

As of December 31, 2014, we have a valuation allowance against net deferred income tax assets of $6.2 million. Of the remaining valuation allowance, $2.9 million primarily relates to domestic credit carryforwards as we currently do not anticipate to generate the income of appropriate character to utilize those credits. The remainder, $3.3 million relates to foreign net operating loss carryfowards. Should it be determined in the future that it is more likely than not that our domestic deferred income tax assets will be realized, an additional valuation allowance would be released during the period in which such an assessment is made. There have been no material changes to our foreign operations since December 31, 2013 and, accordingly, we maintain our existing valuation allowance on foreign deferred income tax assets in such jurisdictions at December 31, 2014.

Income Tax Carryforwards

As of December 31, 2014, we had the following income tax carryforwards (in millions):



	Amount		Expires in
Net operating loss carryforwards
U.S. Federal	$	37.2	2029 - 2031
U.S. State	85.3		2015 - 2031
Switzerland	15.0		2015 - 2020
Italy	1.2		2015 - 2017
Income tax credit carryforwards
U.S. Federal	3.6		2018 - 2034
U.S. State	0.4		2019 - 2022

The timing and manner in which we are permitted to utilize our net operating loss carryforwards may be limited by Internal Revenue Code Section 382, Limitation on Net Operating Loss Carry-forwards and Certain Built-in-Losses Following Ownership Change.

Unrecognized Tax Benefits

Following is a reconciliation of gross unrecognized tax benefits from uncertain tax positions, excluding the impact of penalties and interest (in thousands):



	2014			2013			2012
Unrecognized tax benefits, January 1	$	1,964		$	2,530		$	4,376
Additions for tax positions taken in prior years	72			166			—
Reductions for tax positions taken in prior years	—			(472		)	(972		)
Additions for tax positions related to the current year	821			54			—
Lapses of statutes of limitations	(89		)	(314		)	(874		)
Unrecognized tax benefits, December 31	$	2,768		$	1,964		$	2,530

Of the $2.8 million of gross unrecognized tax benefits from uncertain tax positions outstanding as of December 31, 2014, $2.5 million would affect our effective tax rate if recognized.

We recognize tax-related interest and penalties as a component of income tax provision. We recorded such tax-related interest and penalties of $0.4 million, $0.0 million and $0.1 million in 2014, 2013 and 2012, respectively. We had a cumulative liability for interest and penalties related to uncertain tax positions as of December 31, 2014 and 2013 of $2.0 million and $1.6 million, respectively.

Our U.S. federal income tax returns for 2009 through 2014 are open to review by the U.S. Internal Revenue Service. Our state income tax returns for 2006 through 2014 are open to review, depending on the respective statute of limitation in each state. In addition, we file income tax returns in several non-U.S. jurisdictions with varying statutes of limitation.

As of December 31, 2014, we believe it is reasonably likely that, within the next 12 months, $0.3 million of the previously unrecognized tax benefits related to certain non-U.S. filing positions will be recognized as we anticipate the deregistration of certain foreign subsidiaries.

- Definition

The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.

+ References+ Details

Stock-Based Compensation

12 Months Ended

Dec. 31, 2014

Equity [Abstract]

Stockholders' Equity

STOCK-BASED COMPENSATION

2005 Long-Term Incentive Plan

Our 2005 Long-Term Incentive Plan (the “2005 Plan”), which is administered by the Compensation Committee of the Board of Directors, authorizes us to grant various types of stock-based awards including: stock options, stock appreciation rights, restricted stock, restricted stock units ("RSUs") and performance stock units ("PSUs"). Stock options granted under the 2005 Plan shall not have an exercise price less than the fair market value of our common stock on the date of the grant. The exercise price of a stock option or stock appreciation right may not be reduced without shareholder approval. Stock options generally vest over periods of three or four years of continuous service, commencing on the date of grant. Stock options granted under the 2005 Plan have a seven-year contractual term.

Upon adoption, there were approximately 4.0 million shares available for issuance under the 2005 Plan. The number of shares available for issuance is increased by any shares of common stock which were previously reserved for issuance under our preceding stock option plan, and were not subject to grant on June 6, 2005, or as to which the stock-based compensation award is forfeited on or after June 6, 2005. The number of shares available for issuance is reduced by (i) two shares for each share delivered in settlement of any stock appreciation rights, for each share of restricted stock, and for each stock unit or performance unit award, and (ii) one share for each share delivered in settlement of a stock option award. In no event shall more than 1.0 million aggregate shares of common stock subject to stock options, stock appreciation rights, restricted stock or performance stock unit awards be granted to any one participant in any one year under the 2005 Plan. At December 31, 2014, we had 3.7 million shares available for future grant under our 2005 Plan and we had 4.8 million shares of our common stock reserved for future issuance pursuant to the 2005 Plan and our previous plan.

Stock Option Activity

Stock option activity was as follows (shares in thousands):



	Options Outstanding		Weighted- Average Exercise Price
Outstanding at December 31, 2013	993		$	6.73
Granted	154		8.52
Forfeited, canceled or expired	(252	)	16.46
Exercised	(97	)	3.90
Outstanding at December 31, 2014	798		$	4.41

Certain information regarding options outstanding at December 31, 2014 was as follows:



	Options Outstanding		Options Exercisable		Options Vested and Expected to Vest
Number (in thousands)	798		500		797
Weighted-average exercise price	$	4.41	$	3.25	$	4.41
Aggregate intrinsic value (in millions)	$	8.6	$	6.0	$	8.6
Weighted average remaining contractual term (in years)	4.3		3.4		4.3

RSU Activity

Following is a summary of RSU activity (shares in thousands):



	RSUs Outstanding		Weighted- Average Grant Date Fair Value per Share
Outstanding at December 31, 2013	139		$	3.58
Granted	29		8.86
Forfeited, canceled or expired	—		—
Vested	(81	)	10.78
Outstanding at December 31, 2014	87		$	5.93

PSU Activity

Compensation expense for PSUs is recognized over the estimated requisite service period based on the number of PSUs ultimately expected to vest.

In April 2010, we granted PSU awards covering a total of 146,000 shares of our common stock to key members of our executive team. The PSUs were subject to both time-based vesting (one-third annually over three years) and achievement of a stock price target of two times the grant date price. If, over the three-year period, the stock price did not close at or above two times the grant date price over any 20 of 30 consecutive days, the entire award would have been forfeited. These awards vested in full over the three-year vesting period.

In February and August 2012, we granted PSU awards to certain executive officers covering a total of 82,000 shares of our common stock. The PSUs vest based on achievement of certain operating income and return on asset goals established for a three-year performance period. The number of PSUs that ultimately vest following conclusion of the performance period will be determined based on the level at which the financial goals are achieved. The number of PSUs that vest can range from 60% of the PSUs if minimum thresholds are achieved to a maximum of 150%. These awards are expected to vest in full at the 150% maximum achievement, with the exception of any forfeitures.

In May 2013, we granted PSU awards to certain of our executive officers covering a total of 24,500 shares of our common stock. The PSUs vest based on achievement of certain operating income and return on asset goals established for a three-year performance period. The number of shares vesting under the PSU awards following conclusion of the performance period will be determined based on the level at which the financial goals are achieved. The number of shares vesting can range from 60% of the PSU awards if minimum thresholds are achieved to a maximum of 150%.

In February 2014, we granted PSU awards to certain of our executive officers covering a total of 82,494 shares of our common stock. The PSUs vest based on achievement of goals established for operating income and revenue growth for a three-year performance period. The number of shares vesting under the PSU awards following conclusion of the performance period will be determined based on the level at which the financial goals are achieved. The number of shares vesting can range from 60% of the PSU awards if minimum thresholds are achieved to a maximum of 150%.

Following is a summary of PSU activity (shares in thousands):



	PSUs Outstanding	Weighted- Average Grant Date Fair Value per Share
Outstanding at December 31, 2013	84	$	3.76
Granted	82	8.22
Forfeited, canceled or expired	—	—
Vested	—	—
Outstanding at December 31, 2014	166	$	5.97

Stock-Based Compensation

We receive income tax deductions as a result of the exercise of certain stock options and vesting of RSUs and PSUs. Stock-based compensation expense, primarily included in General and Administrative expense, was as follows (in thousands):



	Year Ended December 31,
	2014		2013		2012
Stock options	$	592	$	337	$	355
Restricted stock units	121		54		188
Performance stock units	353		63		87
	$	1,066	$	454	$	630

Certain other information regarding our stock-based compensation was as follows (in thousands, except per share amounts):



	Year Ended December 31,
	2014		2013		2012
Weighted average grant-date per share fair value of stock options granted	$	5.36	$	4.37	$	1.89
Total intrinsic value of stock options exercised	736		451		33
Fair value of RSUs vested	872		545		405
Fair value of PSUs vested	—		386		—

As of December 31, 2014, unrecognized compensation expense for outstanding, but unvested stock-based awards was $0.7 million, which is expected to be recognized over a weighted average period of 1.5 years.

Assumptions used in calculating the fair value of stock option grants were as follows:



	Year Ended December 31,
	2014		2013		2012
Dividend yield	—	%	—	%	—	%
Risk-free interest rate	1.7	%	0.9	%	0.9	%
Expected life (years)	4.75		4.75		4.75
Expected volatility	80	%	89	%	92	%

Expected dividend yield is based on our current expectation that no dividend payments will be made in future periods.

Risk-free interest rate is the U.S. Treasury zero-coupon rate, as of the grant date, for issues having a term approximately equal to the expected life of the stock option.

Expected life is the period of time over which stock options are expected to remain outstanding. We calculate expected term based on the average of the sum of the vesting periods and the full contractual term.

Expected volatility is the percentage amount by which the price of our common stock is expected to fluctuate annually during the estimated expected life for stock options. Expected price volatility is calculated using historical daily closing prices over a period matching the weighted-average expected life, as management believes such changes are the best indicator of future volatility.

We estimate future forfeitures, at the time of grant and in subsequent periods, based on historical turnover rates, previous forfeiture experience and changes in the business or key personnel that would suggest future forfeitures may differ from historical data. We recognize compensation expense for only those stock options and other stock-based awards that are expected to vest. We reevaluate estimated forfeitures each quarter and, if applicable, recognize a cumulative effect adjustment in the period of the change if the revised estimate of the impact of forfeitures differs significantly from the previous estimate.

- Definition

The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income.

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+ Details

Income (Loss) Per Share

12 Months Ended

Dec. 31, 2014

Earnings Per Share [Abstract]

Income (Loss) Per Share

INCOME PER SHARE

The weighted average numbers of shares outstanding used to compute income per share amounts were as follows (in thousands):



	Year Ended December 31,
	2014	2013	2012
Shares used for basic per share calculations	31,253	31,072	30,851
Dilutive effect of outstanding options, PSUs and RSUs	435	385	123
Shares used for diluted per share calculations	31,688	31,457	30,974

The weighted average numbers of shares outstanding listed in the table below were anti-dilutive and excluded from the computation of Diluted Income Per Share, primarily because the average market price did not exceed the exercise price. These shares may be dilutive potential common shares in the future (in thousands):



	As of December 31,
	2014	2013	2012
Stock options	225	304	1,072
PSUs	—	12	26

- Definition

The entire disclosure for earnings per share.

+ References+ Details

Segment Information

12 Months Ended

Dec. 31, 2014

Segment Reporting [Abstract]

Segment Information

SEGMENT AND GEOGRAPHIC INFORMATION

We have two reportable segments - Direct and Retail. Contribution is the measure of profit or loss, defined as Net Sales less product costs and directly attributable expenses. Directly attributable expenses include Selling and Marketing expenses, General and Administrative expenses, and Research and Development expenses that are directly related to segment operations. Segment assets are those directly assigned to an operating segment's operations, primarily Accounts Receivable, Inventories, Goodwill and Other Intangible Assets. Unallocated assets primarily include Cash and Cash Equivalents, Available-for-Sale securities, shared information technology infrastructure, distribution centers, corporate headquarters, Prepaids and Other Current Assets, Deferred Income Tax Assets and Other Assets. Capital expenditures directly attributable to the Direct and Retail segments were not significant in any period.

Following is summary information by reportable segment (in thousands):



	Year Ended December 31,
	2014			2013			2012
Net Sales:
Direct	$	175,593		$	136,663		$	124,978
Retail	93,223			76,775			63,891
Unallocated royalty income	5,631			5,365			5,057
Consolidated Net Sales	$	274,447		$	218,803		$	193,926
Contribution:
Direct	$	29,345		$	14,126		$	12,479
Retail	13,279			11,431			7,855
Unallocated royalty income	5,631			5,365			5,057
Consolidated contribution	$	48,255		$	30,922		$	25,391

Reconciliation of consolidated contribution to income from continuing operations:
Consolidated contribution	$	48,255		$	30,922		$	25,391
Amounts not directly related to segments:
Operating expenses	(18,101		)	(15,198		)	(14,801		)
Other income (expense), net	70			315			(174		)
Income tax (provision) benefit	(9,841		)	32,085			226
Income from continuing operations	$	20,383		$	48,124		$	10,642

Depreciation and amortization expense:
Direct	$	1,913		$	1,956		$	2,366
Retail	643			642			825
Unallocated corporate	1,468			746			78
Total depreciation and amortization expense	$	4,024		$	3,344		$	3,269

	December 31,
Assets:	2014			2013
Direct	$	25,263		$	21,249
Retail	37,203			32,023
Unallocated corporate	113,188			90,295
Total assets	$	175,654		$	143,567

Net sales by geographic area were as follows:



	Year Ended December 31,
	2014		2013		2012
U.S.	$	231,230	$	181,381	$	167,504
Canada	35,367		34,166		24,977
All other	7,850		3,256		1,445
	$	274,447	$	218,803	$	193,926

There are no material long-lived assets held outside of the U.S.

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

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+ Details

Commitments and Contingencies

12 Months Ended

Dec. 31, 2014

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

COMMITMENTS AND CONTINGENCIES

Operating Leases

We lease property and equipment under non-cancelable operating leases which, in the aggregate, extend through 2025. Many of these leases contain renewal options and provide for rent escalations and payment of real estate taxes, maintenance, insurance and certain other operating expenses of the properties. Rent expense under all operating leases was as follows (in thousands):



	Year Ended December 31,
	2014		2013		2012
Rent expense	$	3,625	$	3,473	$	3,218

As of December 31, 2014, future minimum lease payments under non-cancelable leases, reduced for sublease income, were as follows (in thousands):



2015	$	4,050
2016	3,990
2017	3,250
2018	2,249
2019	2,575
Thereafter	9,803
	$	25,917

Guarantees, Commitments and Off-Balance Sheet Arrangements

As of December 31, 2014, we had approximately $0.6 million in letters of credit with certain vendors with expiration dates through April 2015.

We have long lead times for inventory purchases and, therefore, must secure factory capacity from our vendors in advance. As of December 31, 2014, we had approximately $21.3 million in non-cancelable market-based purchase obligations, primarily for inventory purchases expected to be received within the next twelve months. Purchase obligations can vary from quarter-to-quarter and versus the same period in prior years due to a number of factors, including the amount of products that are shipped directly to Retail customer warehouses versus through Nautilus warehouses.

In the ordinary course of business, we enter into agreements that require us to indemnify counterparties against third-party claims. These may include: agreements with vendors and suppliers, under which we may indemnify them against claims arising from use of their products or services; agreements with customers, under which we may indemnify them against claims arising from their use or sale of our products; real estate and equipment leases, under which we may indemnify lessors against third-party claims relating to the use of their property; agreements with licensees or licensors, under which we may indemnify the licensee or licensor against claims arising from their use of our intellectual property or our use of their intellectual property; and agreements with parties to debt arrangements, under which we may indemnify them against claims relating to their participation in the transactions.

The nature and terms of these indemnification obligations vary from contract to contract, and generally a maximum obligation is not stated within the agreements. We hold insurance policies that mitigate potential losses arising from certain types of indemnification obligations. Management does not deem these obligations to be significant to our financial position, results of operations or cash flows and, therefore, no related liabilities were recorded as of December 31, 2014.

Legal Matters

In 2004, we were sued in the Southern District of New York by BioSig Instruments, Inc. for alleged patent infringement in connection with our incorporation of heart rate monitors into certain cardio products. No significant activity in the litigation occurred until 2008. In 2012, the United States District Court granted summary judgment to us on grounds that BioSig’s patents

were invalid as a matter of law. BioSig appealed the grant of summary judgment and, in April 2013, the United States Court of Appeals for the Federal Circuit reversed the District Court’s decision on summary judgment and remanded the case to the District Court for further proceedings. On January 10, 2014, the U.S. Supreme Court granted our petition for a writ of certiorari to address the legal standard applied by the Federal Circuit in determining whether the patents may be valid under applicable law. The case was argued before the Supreme Court on April 28, 2014. By decision dated June 2, 2014, the Supreme Court unanimously reversed the Federal Circuit, holding that its standard of when a patent may be “indefinite” was incorrect and remanding to the Federal Circuit for reconsideration under the correct standard. The remand hearing in the Federal Circuit was held on October 29, 2014, and no decision has yet been issued. We do not believe that our use of heart rate monitors utilized or purchased from third parties, and otherwise, infringe the BioSig patents.

In August 2014, we initiated an arbitration proceeding under a 1999 license agreement pursuant to which we had licensed certain rights relating to our TreadClimber^® products. We believe that our obligation to pay royalties under the license agreement ceased in the fourth quarter of 2013. The licensor disputes this and issued a notice under the contract claiming breach of the license agreement and asserting various remedies. We are seeking a declaratory ruling in the arbitration that we have performed all our obligations under the license agreement, and that there is no continuing obligation to pay royalties. The licensor has asserted various counterclaims in the arbitration, including contract and intellectual property claims, and asserted various remedies, including termination of the license agreement. The Company has replied to the counterclaim, denying the allegations and demanded remedies and asserting defenses. The arbitration is being administered by the American Arbitration Association (AAA) and is in its preliminary stages. An arbitrator has been selected, however, a stay of the arbitration proceedings has been issued.

In addition to the matters described above, from time to time, we may be involved in various claims, lawsuits and other proceedings. These legal and tax proceedings involve uncertainty as to the eventual outcomes and losses which may be realized when one or more future events occur or fail to occur.

Litigation and jury verdicts are, to some degree, inherently unpredictable, and although we have determined that a loss is not probable in connection with any current legal proceeding, it is reasonably possible that a loss may be incurred in connection with proceedings to which we are a party. Assessment of whether incurrence of a loss is probable, or a reasonable possibility, in connection with a particular proceeding, and estimation of the loss, or a range of loss, involves complex judgments and numerous uncertainties. Management is unable to estimate a range of reasonably possible losses related to litigation in its early stages, especially when the damages sought are indeterminate, or the legal and factual basis for the relevant claims have not been developed with specificity. As such, zero liability is recorded as of December 31, 2014.

We regularly monitor our estimated exposure to these contingencies and, as additional information becomes known, may change our estimates accordingly. We evaluate, on a quarterly basis, developments in legal proceedings, investigations or claims that could affect the amount of any accrual, as well as any developments that would make a loss probable or reasonably possible, and whether the amount of a probable or reasonably possible loss is estimable. Among other factors, we evaluate the advice of internal and external counsel, the outcomes from similar litigation, current status of the lawsuits (including settlement initiatives), legislative developments and other factors. Due to the numerous variables associated with these judgments and assumptions, both the precision and reliability of the resulting estimates of the related loss contingencies are subject to substantial uncertainties.

- Definition

The entire disclosure for commitments and contingencies.

+ References+ Details

Supplementary Information - Quarterly Results of Operations (unaudited)

12 Months Ended

Dec. 31, 2014

Quarterly Financial Information Disclosure [Abstract]

Supplementary Information - Quarterly Results of Operations Unaudited

SUPPLEMENTARY INFORMATION - QUARTERLY RESULTS OF OPERATIONS (unaudited)

The following table summarizes our unaudited quarterly financial data for 2014 and 2013 (in thousands, except per share amounts):



	Quarter Ended
	March 31			June 30			September 30			December 31			Total
2014
Net sales	$	71,903		$	48,546		$	59,067		$	94,931		$	274,447
Gross profit	38,481			24,780			28,795			48,519			140,575
Operating income	9,001			2,379			4,281			14,493			30,154
Income from continuing operations	5,748			1,498			2,664			10,473			20,383
Loss from discontinued operations	(374		)	(941		)	(177		)	(96		)	(1,588		)
Net income⁽¹⁾	5,374			557			2,487			10,377			18,795
Net income per share:
Basic	$	0.17		$	0.02		$	0.08		$	0.33		$	0.60
Diluted ⁽²⁾	0.17			0.02			0.08			0.33			0.59

2013
Net sales	$	59,214		$	36,242		$	46,256		$	77,091		$	218,803
Gross profit	30,694			17,329			21,777			36,677			106,477
Operating income (loss)	5,994			(1,724		)	1,336			10,118			15,724
Income from continuing operations	5,524			32,668			1,500			8,432			48,124
Income (loss) from discontinued operations	(365		)	195			(116		)	116			(170		)
Net income ⁽¹⁾	5,159			32,863			1,384			8,548			47,954
Net income per share:
Basic	$	0.17		$	1.06		$	0.04		$	0.27		$	1.54
Diluted ⁽²⁾	0.17			1.05			0.04			0.27			1.52

⁽¹⁾ Net income in the quarters ended December 31, 2014 and June 30, 2013 included a $1.2 million and a $35.8 million credit, respectively, related to the reversal of a portion of our deferred tax asset valuation allowance.

⁽²⁾ May not add due to rounding.

- Definition

The entire disclosure for the quarterly financial data in the annual financial statements. The disclosure may include a tabular presentation of financial information for each fiscal quarter for the current and previous year, including revenues, gross profit, income or loss before extraordinary items and earnings per share data. It also includes an indication if the information in the note is unaudited, comments on the aggregate effect of year-end adjustments, and an explanation of matters or transactions that affect comparability or are pertinent to an understanding of the information furnished.

+ References+ Details

Significant Accounting Policies (Policies)

12 Months Ended

Dec. 31, 2014

Accounting Policies [Abstract]

Marketable Securities, Available-for-sale Securities, Policy [Policy Text Block]

Available-For-Sale Securities

For additional information, refer to Note 3, Fair Value Measurements.

Discontinued Operation

Discontinued Operations

Use of estimates

Use of Estimates


•	Revenue recognition;


•	Sales discounts and allowances;


•	Allowance for uncollectible trade receivables;


•	Valuation of excess and obsolete inventory;


•	Goodwill and other long-term assets valuation;


•	Product warranty obligations;


•	Litigation and loss contingencies;


•	Deferred tax assets and the related valuation allowance; and


•	Unrecognized tax benefits.

Actual results could differ from our estimates.

Concentrations of risk

Concentrations

Cash, cash equivalents and restricted cash

Cash and Cash Equivalents

Inventories

Property, plant and equipment

Property, Plant and Equipment

Goodwill

Other intangible assets

Other Intangible Assets

Impairment of long-lived assets

Impairment of Long-Lived Assets

Revenue recognition

Revenue Recognition

Sales discounts and allowances

Sales Discounts and Returns Allowance

Taxes collected from customers and remitted to governmental authorities

Taxes Collected from Customers and Remitted to Governmental Authorities

Taxes collected from customers and remitted to governmental authorities are recorded on a net basis and excluded from revenue.

Shipping and handling fees

Shipping and Handling Fees

Shipping and handling fees billed to customers are recorded gross and included in both revenue and cost of sales.

Cost of sales

Cost of Sales

Product warranty obligations

Product Warranty Obligations

Litigation and loss contingencies

Litigation and Loss Contingencies

Advertising and promotion

Advertising and Promotion

Research and development

Research and Development

Income taxes

Income Taxes

Unrecognized Tax Benefits

Foreign currency translation

Foreign Currency Translation

Fair value of financial instruments

Fair Value of Financial Instruments

The carrying values of Cash and Cash Equivalents, Trade Receivables, Prepaids and Other Current Assets, Trade Payables and Accrued Liabilities approximate fair value due to their short maturities.

Net Income Per Share

Per Share Amounts

Share-based based compensation

Stock-Based Compensation

New Accounting Pronouncements

ASU 2015-01

ASU 2014-17

ASU 2014-16

ASU 2014-15

ASU 2014-12

ASU 2014-09

• removes inconsistencies and weaknesses in revenue requirements;

• provides a more robust framework for addressing revenue issues;

• improves comparability of revenue recognition practices across entities, industries, jurisdictions and capital markets;

• provides more useful information to users of financial statements through improved disclosure requirements; and

• simplifies the preparation of financial statements by reducing the number of requirements to which an entity must refer.

ASU 2014-09 may have on our financial position, results of operations or cash flows.

ASU 2014-08

ASU 2013-11

Discontinued Operation (Tables)

12 Months Ended

Dec. 31, 2014

Discontinued Operations and Disposal Groups [Abstract]

Schedule of Operating Results of Company's Former Commercial Business

Following is a summary of certain financial information regarding our discontinued operations (in thousands):



	Year Ended December 31,
	2014			2013			2012
Revenue	$	—		$	—		$	—
Loss from discontinued operations	(1,134		)	(559		)	(163		)
Reclassification of foreign currency translation gains to income upon substantial liquidation of subsidiaries	—			—			6,170
Income tax (provision) benefit	(454		)	389			234
Total income (loss) from discontinued operations	$	(1,588	)	$	(170	)	$	6,241



	Facilities Leases			Severance and Benefits
Balance as of January 1, 2012	$	1,929		$	175
Adjustments	(390		)	—
Payments	(421		)	(175		)
Balance as of December 31, 2012	1,118			—
Payments	(287		)	—
Balance as of December 31, 2013	831			—
Payments	(258		)	—
Balance as of December 31, 2014	$	573		$	—

- Definition

Tabular disclosure of disposal groups, which may include the gain (loss) recognized in the income statement and the income statement caption that includes that gain (loss), amounts of revenues and pretax profit or loss reported in discontinued operations, the classification and carrying value of the assets and liabilities comprising the disposal group, and the segment in which the disposal group was reported. Also may include the amount of adjustments to amounts previously reported in discontinued operations such as resolution of contingencies arising from the disposal transaction or the operations of the component prior to disposal.

+ References+ Details

Fair Value Measurements (Tables)

12 Months Ended

Dec. 31, 2014

Fair Value Disclosures [Abstract]

Fair Value, Assets Measured on Recurring Basis

Assets measured at fair value on a recurring basis were as follows (in thousands):



	December 31, 2014
	Level 1		Level 2		Level 3		Total
Cash Equivalents
Money market funds	$	2,591	$	—	$	—	$	2,591
Certificates of deposit⁽¹⁾	—		980		—		980
Commercial paper	—		12,497		—		12,497
Variable rate demand notes	—		8,000		—		8,000
Total Cash Equivalents	2,591		21,477		—		24,068

Available-for-Sale Securities
Certificates of deposit⁽¹⁾	—		14,202		—		14,202
Corporate bonds	—		12,782		—		12,782
Total Available-for-Sale Securities	—		26,984		—		26,984

Total assets measured at fair value	$	2,591	$	48,461	$	—	$	51,052

⁽¹⁾ All certificates of deposit are within current FDIC insurance limits.

Trade Receivables (Tables)

12 Months Ended

Dec. 31, 2014

Receivables [Abstract]

Allowance for doubtful accounts

Trade receivables, net, consisted of the following (in thousands):



	December 31,
	2014			2013
Trade receivables	$	26,368		$	25,389
Allowance for doubtful accounts	(108		)	(53		)
	$	26,260		$	25,336

Schedule Of Changes In Allowance For Doubtful Accounts

Changes in our allowance for doubtful trade receivables were as follows (in thousands):



	2014			2013			2012
Balance, January 1	$	53		$	93		$	300
Charges to (reversals of) bad debt expense	104			588			(13		)
Writeoffs, net of recoveries	(49		)	(628		)	(194		)
Balance, December 31	$	108		$	53		$	93

Property, Plant, and Equipment (Tables)

12 Months Ended

Dec. 31, 2014

Property, Plant and Equipment [Abstract]

Schedule of Property, Plant and Equipment

Property, plant and equipment consisted of the following (in thousands):



	Estimated Useful Life (in years)			December 31,
	Estimated Useful Life (in years)			2014			2013
Automobiles	5			$	23		$	—
Leasehold improvements	5	to	20	2,144			2,869
Computer equipment	3	to	7	25,397			35,554
Machinery and equipment	3	to	5	6,709			5,648
Furniture and fixtures	5			1,108			688
Work in progress ⁽¹⁾	N/A			421			4,281
Total cost				35,802			49,040
Accumulated depreciation				(26,168		)	(40,541		)
				$	9,634		$	8,499

⁽¹⁾Work in progress includes production tooling construction in progress and, in 2013, internal use software development.

Depreciation expense was as follows (in thousands):



	Year Ended December 31,
	2014		2013		2012
Depreciation expense	$	1,983	$	1,254	$	1,199

Other Intangible Assets (Tables)

12 Months Ended

Dec. 31, 2014

Goodwill and Intangible Assets Disclosure [Abstract]

Intangible assets

ntangible assets consisted of the following (in thousands):



	Estimated Useful Life (in years)			December 31,
	Estimated Useful Life (in years)			2014			2013
Indefinite life trademarks	N/A			$	9,052		$	9,052
Patents	8	to	16	18,154			18,154
				27,206			27,206
Accumulated amortization - patents				(16,631		)	(14,591		)
				$	10,575		$	12,615

Amortization expense

Amortization expense was as follows (in thousands):



	Year Ended December 31,
	2014		2013		2012
Amortization expense	$	2,040	$	2,050	$	2,050

Future amortization expense

Future amortization of patents is as follows (in thousands):



2015	$	828
2016	430
2017	143
2018	65
2019	35
Thereafter	22
	$	1,523

Income Taxes (Tables)

12 Months Ended

Dec. 31, 2014

Income Tax Disclosure [Abstract]

Schedule of Income before Income Tax, Domestic and Foreign [Table Text Block]

Income from continuing operations before income taxes was as follows (in thousands):



	Year Ended December 31,
	2014		2013		2012
United States	$	29,115	$	15,386	$	10,025
Non-U.S.	1,109		653		391
	$	30,224	$	16,039	$	10,416

Schedule of Components of Income Tax Expense (Benefit) [Table Text Block]

Income tax expense (benefit) from continuing operations was as follows (in thousands):



	Year Ended December 31,
	2014			2013			2012
Current:
U.S. federal	$	1,086		$	541		$	(579	)
U.S. state	100			56			53
Non-U.S.	222			(12		)	155
Total current	1,408			585			(371		)
Deferred:
U.S. federal	8,913			(29,552		)	177
U.S. state	(558		)	(3,370		)	17
Non-U.S.	78			252			(49		)
Total deferred	8,433			(32,670		)	145
	$	9,841		$	(32,085	)	$	(226	)

Schedule of Deferred Tax Assets and Liabilities [Table Text Block]

Individually significant components of deferred income tax assets (liabilities) were as follows (in thousands):



	December 31,
	2014			2013
Deferred income tax assets:
Accrued liabilities	$	3,510		$	3,230
Allowance for doubtful accounts	33			20
Inventory valuation	377			312
Capitalized indirect inventory costs	295			159
Stock-based compensation expense	558			376
Net operating loss carryforward	19,742			35,635
Basis difference on long-lived assets	3,289			4,412
Credit carryforward	4,565			3,422
Other	339			332
Gross deferred income tax assets	32,708			47,898
Valuation allowance	(6,156		)	(12,944		)
Deferred income tax assets, net of valuation allowance	26,552			34,954
Deferred income tax liabilities:
Prepaid advertising	(467		)	(793		)
Other prepaids	(696		)	(592		)
Basis difference on long-lived assets	(3,355		)	(2,938		)
Undistributed earnings of foreign subsidiaries	(179		)	(177		)
Other	(1		)	(288		)
Deferred income tax liabilities	(4,698		)	(4,788		)
Net deferred income tax asset	$	21,854		$	30,166

Our net deferred income tax asset (liability) was recorded on our Consolidated Balance Sheets as follows (in thousands):



	December 31,
	2014			2013
Current deferred income tax assets	$	12,368		$	4,441
Non-current deferred income tax assets	9,546			25,725
Other long-term liabilities	(60		)	—
Net deferred income tax asset	$	21,854		$	30,166

Schedule of Effective Income Tax Rate Reconciliation [Table Text Block]

Following is a reconciliation of the U.S. statutory federal income tax rate with our effective income tax rate for continuing operations:



	Year Ended December 31,
	2014		2013		2012
U.S. statutory income tax rate	35.0	%	35.0	%	35.0	%
State tax, net of U.S. federal tax benefit	2.5		2.9		1.1
Non-U.S. income taxes	(0.3	)	1.2		—
Nondeductible operating expenses	0.2		(0.4	)	0.4
Research and development credit	(2.4	)	(0.7	)	—
Change in deferred tax measurement rate	0.1		0.2		0.1
Change in uncertain tax positions	1.5		2.2		(6.5	)
Expiration of capital loss carryforward	—		26.9		—
Change in valuation allowance	(4.1	)	(267.6	)	(32.3	)
Other	0.1		0.2		—
Effective income tax rate	32.6	%	(200.1	)%	(2.2	)%

Summary of Income Tax Carryforwards [Table Text Block]

As of December 31, 2014, we had the following income tax carryforwards (in millions):



	Amount		Expires in
Net operating loss carryforwards
U.S. Federal	$	37.2	2029 - 2031
U.S. State	85.3		2015 - 2031
Switzerland	15.0		2015 - 2020
Italy	1.2		2015 - 2017
Income tax credit carryforwards
U.S. Federal	3.6		2018 - 2034
U.S. State	0.4		2019 - 2022

Schedule of Reconciliatin of Gross Unrecognized Tax Benefits From Uncertain Tax Positions Roll Forward [Table Text Block]

Following is a reconciliation of gross unrecognized tax benefits from uncertain tax positions, excluding the impact of penalties and interest (in thousands):



	2014			2013			2012
Unrecognized tax benefits, January 1	$	1,964		$	2,530		$	4,376
Additions for tax positions taken in prior years	72			166			—
Reductions for tax positions taken in prior years	—			(472		)	(972		)
Additions for tax positions related to the current year	821			54			—
Lapses of statutes of limitations	(89		)	(314		)	(874		)
Unrecognized tax benefits, December 31	$	2,768		$	1,964		$	2,530

Stock-Based Compensation (Tables)

12 Months Ended

Dec. 31, 2014

Equity [Abstract]

Stock option activity

Stock option activity was as follows (shares in thousands):



	Options Outstanding		Weighted- Average Exercise Price
Outstanding at December 31, 2013	993		$	6.73
Granted	154		8.52
Forfeited, canceled or expired	(252	)	16.46
Exercised	(97	)	3.90
Outstanding at December 31, 2014	798		$	4.41

Stock options outstanding

Certain information regarding options outstanding at December 31, 2014 was as follows:



	Options Outstanding		Options Exercisable		Options Vested and Expected to Vest
Number (in thousands)	798		500		797
Weighted-average exercise price	$	4.41	$	3.25	$	4.41
Aggregate intrinsic value (in millions)	$	8.6	$	6.0	$	8.6
Weighted average remaining contractual term (in years)	4.3		3.4		4.3

RSU activity

Following is a summary of RSU activity (shares in thousands):



	RSUs Outstanding		Weighted- Average Grant Date Fair Value per Share
Outstanding at December 31, 2013	139		$	3.58
Granted	29		8.86
Forfeited, canceled or expired	—		—
Vested	(81	)	10.78
Outstanding at December 31, 2014	87		$	5.93

PSU activity

Following is a summary of PSU activity (shares in thousands):



	PSUs Outstanding	Weighted- Average Grant Date Fair Value per Share
Outstanding at December 31, 2013	84	$	3.76
Granted	82	8.22
Forfeited, canceled or expired	—	—
Vested	—	—
Outstanding at December 31, 2014	166	$	5.97

Stock-based compensation

Stock-based compensation expense, primarily included in General and Administrative expense, was as follows (in thousands):



	Year Ended December 31,
	2014		2013		2012
Stock options	$	592	$	337	$	355
Restricted stock units	121		54		188
Performance stock units	353		63		87
	$	1,066	$	454	$	630

Other information regarding stock-based compensation

Certain other information regarding our stock-based compensation was as follows (in thousands, except per share amounts):



	Year Ended December 31,
	2014		2013		2012
Weighted average grant-date per share fair value of stock options granted	$	5.36	$	4.37	$	1.89
Total intrinsic value of stock options exercised	736		451		33
Fair value of RSUs vested	872		545		405
Fair value of PSUs vested	—		386		—

Assumptions

Assumptions used in calculating the fair value of stock option grants were as follows:



	Year Ended December 31,
	2014		2013		2012
Dividend yield	—	%	—	%	—	%
Risk-free interest rate	1.7	%	0.9	%	0.9	%
Expected life (years)	4.75		4.75		4.75
Expected volatility	80	%	89	%	92	%

- Definition

Tabular disclosure of components of a stock option or other award plan under which equity-based compensation is awarded to employees, typically comprised of the amount of unearned compensation (deferred compensation cost), compensation expense, and changes in the quantity and fair value of the shares (or other type of equity) granted, exercised, forfeited, and issued and outstanding pertaining to that plan. Disclosure may also include nature and general terms of such arrangements that existed during the period and potential effects of those arrangements on shareholders, effect of compensation cost arising from equity-based payment arrangements on the income statement, method of estimating the fair value of the goods or services received, or the fair value of the equity instruments granted, during the period, cash flow effects resulting from equity-based payment arrangements and, for registrants that accelerate vesting of out of the money share options, reasons for the decision to accelerate.

+ References+ Details

Income (Loss) Per Share (Tables)

12 Months Ended

Dec. 31, 2014

Earnings Per Share [Abstract]

Schedule of Weighted Average Number of Shares Outstanding Used to Compute Income Per Share

The weighted average numbers of shares outstanding used to compute income per share amounts were as follows (in thousands):



	Year Ended December 31,
	2014	2013	2012
Shares used for basic per share calculations	31,253	31,072	30,851
Dilutive effect of outstanding options, PSUs and RSUs	435	385	123
Shares used for diluted per share calculations	31,688	31,457	30,974

Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share



	As of December 31,
	2014	2013	2012
Stock options	225	304	1,072
PSUs	—	12	26

Segment Information (Tables)

12 Months Ended

Dec. 31, 2014

Segment Reporting [Abstract]

Summary Information by Reportable Segments



	Year Ended December 31,
	2014			2013			2012
Net Sales:
Direct	$	175,593		$	136,663		$	124,978
Retail	93,223			76,775			63,891
Unallocated royalty income	5,631			5,365			5,057
Consolidated Net Sales	$	274,447		$	218,803		$	193,926
Contribution:
Direct	$	29,345		$	14,126		$	12,479
Retail	13,279			11,431			7,855
Unallocated royalty income	5,631			5,365			5,057
Consolidated contribution	$	48,255		$	30,922		$	25,391

Reconciliation of consolidated contribution to income from continuing operations:
Consolidated contribution	$	48,255		$	30,922		$	25,391
Amounts not directly related to segments:
Operating expenses	(18,101		)	(15,198		)	(14,801		)
Other income (expense), net	70			315			(174		)
Income tax (provision) benefit	(9,841		)	32,085			226
Income from continuing operations	$	20,383		$	48,124		$	10,642

Depreciation and amortization expense:
Direct	$	1,913		$	1,956		$	2,366
Retail	643			642			825
Unallocated corporate	1,468			746			78
Total depreciation and amortization expense	$	4,024		$	3,344		$	3,269

	December 31,
Assets:	2014			2013
Direct	$	25,263		$	21,249
Retail	37,203			32,023
Unallocated corporate	113,188			90,295
Total assets	$	175,654		$	143,567

Net Sales by Geographic Regions

Net sales by geographic area were as follows:



	Year Ended December 31,
	2014		2013		2012
U.S.	$	231,230	$	181,381	$	167,504
Canada	35,367		34,166		24,977
All other	7,850		3,256		1,445
	$	274,447	$	218,803	$	193,926

- Definition

Tabular disclosure of the profit or loss and total assets for each reportable segment. An entity discloses certain information on each reportable segment if the amounts (a) are included in the measure of segment profit or loss reviewed by the chief operating decision maker or (b) are otherwise regularly provided to the chief operating decision maker, even if not included in that measure of segment profit or loss.

+ References+ Details

Commitments and Contingencies (Tables)

12 Months Ended

Dec. 31, 2014

Commitments and Contingencies Disclosure [Abstract]

Schedule of Future Minimum Rental Payments for Operating Leases

As of December 31, 2014, future minimum lease payments under non-cancelable leases, reduced for sublease income, were as follows (in thousands):



2015	$	4,050
2016	3,990
2017	3,250
2018	2,249
2019	2,575
Thereafter	9,803
	$	25,917

Schedule of Rent Expense

Rent expense under all operating leases was as follows (in thousands):



	Year Ended December 31,
	2014		2013		2012
Rent expense	$	3,625	$	3,473	$	3,218

Supplementary Information - Quarterly Results of Operations (Tables)

12 Months Ended

Dec. 31, 2014

Quarterly Financial Information Disclosure [Abstract]

Schedule of Quarterly Financial Information [Table Text Block]

The following table summarizes our unaudited quarterly financial data for 2014 and 2013 (in thousands, except per share amounts):



	Quarter Ended
	March 31			June 30			September 30			December 31			Total
2014
Net sales	$	71,903		$	48,546		$	59,067		$	94,931		$	274,447
Gross profit	38,481			24,780			28,795			48,519			140,575
Operating income	9,001			2,379			4,281			14,493			30,154
Income from continuing operations	5,748			1,498			2,664			10,473			20,383
Loss from discontinued operations	(374		)	(941		)	(177		)	(96		)	(1,588		)
Net income⁽¹⁾	5,374			557			2,487			10,377			18,795
Net income per share:
Basic	$	0.17		$	0.02		$	0.08		$	0.33		$	0.60
Diluted ⁽²⁾	0.17			0.02			0.08			0.33			0.59

2013
Net sales	$	59,214		$	36,242		$	46,256		$	77,091		$	218,803
Gross profit	30,694			17,329			21,777			36,677			106,477
Operating income (loss)	5,994			(1,724		)	1,336			10,118			15,724
Income from continuing operations	5,524			32,668			1,500			8,432			48,124
Income (loss) from discontinued operations	(365		)	195			(116		)	116			(170		)
Net income ⁽¹⁾	5,159			32,863			1,384			8,548			47,954
Net income per share:
Basic	$	0.17		$	1.06		$	0.04		$	0.27		$	1.54
Diluted ⁽²⁾	0.17			1.05			0.04			0.27			1.52

⁽²⁾ May not add due to rounding.

Significant Accounting Policies (Details) (USD $)	3 Months Ended	12 Months Ended			9 Months Ended	12 Months Ended
Significant Accounting Policies (Details) (USD $)	Dec. 31, 2012	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012	Sep. 30, 2013 Minimum [Member]	Dec. 31, 2014 Furniture, equipment and information systems [Member] Minimum [Member]	Dec. 31, 2014 Furniture, equipment and information systems [Member] Maximum [Member]	Dec. 31, 2014 Customer Concentration Risk [Member] Consolidated Net Sales [Member] customer	Dec. 31, 2013 Customer Concentration Risk [Member] Consolidated Net Sales [Member] customer	Dec. 31, 2014 Customer Concentration Risk [Member] Customer A [Member] Consolidated Net Sales [Member] Minimum [Member]	Dec. 31, 2013 Customer Concentration Risk [Member] Customer A [Member] Consolidated Net Sales [Member] Minimum [Member]	Dec. 31, 2014 Customer Concentration Risk [Member] Customer A [Member] Consolidated Net Sales [Member] Maximum [Member]	Dec. 31, 2013 Customer Concentration Risk [Member] Customer A [Member] Consolidated Net Sales [Member] Maximum [Member]	Dec. 31, 2012 Sherborne [Member] Notes Payable, Other Payables [Member]	Sep. 30, 2010 Sherborne [Member] Notes Payable, Other Payables [Member]
Significant Accounting Policies [Line Items]
Product Warranty Period					30 days
Number of major customers								1	1,000
Concentration risk, percentage										10.00%	10.00%	15.00%	15.00%
Estimated useful life (in years)						3 years	7 years
Beginning Balance		$ 4,106,000	$ 4,990,000	$ 5,113,000
Charges to reserve		15,285,000	13,345,000	11,730,000
Reductions for sales discounts and returns		(15,095,000)	(14,229,000)	(11,853,000)
Ending Balance	4,990,000	4,296,000	4,106,000	4,990,000
Marketing and advertising expense		42,600,000	35,800,000	30,900,000
Prepaid advertising		1,400,000	2,200,000
Original principal amount															5,000,000
Interest expense														500,000
Reclassification of foreign currency translation gains to income upon substantial liquidation of subsidiaries	$ 6,200,000

Discontinued Operation (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended								12 Months Ended
	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Revenue									$ 0	$ 0	$ 0
Loss from discontinued operations									(1,134)	(559)	6,007
Income tax (provision) benefit									(454)	389	234
Income (loss) from discontinued operations	(96)	(177)	(941)	(374)	116	(116)	195	(365)	(1,588)	(170)	6,241
Commercial [Member] \| Severance and Benefits [Member]
Restructuring Reserve [Roll Forward]
Balance				0				0	0	0	175
Adjustments											0
Payments									0	0	(175)
Balance	0				0				0	0	0
Commercial [Member] \| Lease Obligations [Member]
Restructuring Reserve [Roll Forward]
Balance				831				1,118	831	1,118	1,929
Adjustments											(390)
Payments									(258)	(287)	(421)
Balance	573				831				573	831	1,118
Commercial [Member] \| Commercial [Member]
Loss from discontinued operations									(1,134)	(559)	(163)
Reclassification of foreign currency translation gains to income upon substantial liquidation of subsidiaries									0	0	6,170
Income tax (provision) benefit									(454)	389	234
Income (loss) from discontinued operations									$ (1,588)	$ (170)	$ 6,241

- Definition

Overall income (loss) from a disposal group that is classified as a component of the entity, before income tax, reported as a separate component of income before extraordinary items. Includes the following (before income tax): income (loss) from operations during the phase-out period, gain (loss) on disposal, provision (or any reversals of earlier provisions) for loss on disposal, and adjustments of a prior period gain (loss) on disposal.

+ References+ Details

- Definition

Tax effect allocated to a disposal group that is classified as a component of the entity reported as a separate component of income before extraordinary items. Includes the tax effects of the following: income (loss) from operations during the phase-out period, gain (loss) on disposal, provision (or any reversals of earlier provisions) for loss on disposal, and adjustments of a prior period gain (loss) on disposal.

+ References+ Details

Fair Value Measurements (Details) (Fair Value, Measurements, Recurring, USD $) In Thousands, unless otherwise specified	Dec. 31, 2014
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash Equivalents	$ 24,068
Available-for-Sale Securities	26,984
Total assets measured at fair value	51,052
Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash Equivalents	2,591
Available-for-Sale Securities	0
Total assets measured at fair value	2,591
Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash Equivalents	21,477
Available-for-Sale Securities	26,984
Total assets measured at fair value	48,461
Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash Equivalents	0
Available-for-Sale Securities	0
Total assets measured at fair value	0
Money market funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash Equivalents	2,591
Money market funds \| Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash Equivalents	2,591
Money market funds \| Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash Equivalents	0
Money market funds \| Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash Equivalents	0
Certificates of deposit
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash Equivalents	980
Available-for-Sale Securities	14,202
Certificates of deposit \| Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash Equivalents	0
Available-for-Sale Securities	0
Certificates of deposit \| Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash Equivalents	980
Available-for-Sale Securities	14,202
Certificates of deposit \| Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash Equivalents	0
Available-for-Sale Securities	0
Commercial paper
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash Equivalents	12,497
Commercial paper \| Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash Equivalents	0
Commercial paper \| Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash Equivalents	12,497
Commercial paper \| Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash Equivalents	0
Variable rate demand notes
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash Equivalents	8,000
Variable rate demand notes \| Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash Equivalents	0
Variable rate demand notes \| Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash Equivalents	8,000
Variable rate demand notes \| Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash Equivalents	0
Corporate bonds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-Sale Securities	12,782
Corporate bonds \| Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-Sale Securities	0
Corporate bonds \| Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-Sale Securities	12,782
Corporate bonds \| Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-Sale Securities	$ 0

Trade Receivables (Details) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Receivables [Abstract]
Trade receivables	$ 26,368	$ 25,389
Allowance for doubtful accounts	(108)	(53)
Total trade receivable	26,260	25,336
Allowance for Doubtful Accounts Receivable [Roll Forward]
Balance, January 1	53	93	300
Charges to (reversals of) bad debt expense	104	588	(13)
Writeoffs, net of recoveries	(49)	(628)	(194)
Balance, December 31	$ 108	$ 53	$ 93

Inventories (Details) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
Inventory Disclosure [Abstract]
Finished goods	$ 23,765	$ 14,259
Parts and components	1,131	1,565
Total inventories	$ 24,896	$ 15,824

Property, Plant and Equipment (Details) (USD $)
In Thousands, unless otherwise specified

12 Months Ended

Dec. 31, 2014

Dec. 31, 2013

Dec. 31, 2012

Property, Plant and Equipment [Line Items]

Property, plant and equipment, gross

$ 35,802

$ 49,040

Accumulated depreciation

(26,168)

(40,541)

Total property, plant and equipment, net

9,634

8,499

Depreciation expense

1,983

1,254

1,199

Automobiles [Member]

Property, Plant and Equipment [Line Items]

Property, plant and equipment, gross

Estimated useful life (in years)

5 years

Leasehold improvements [Member]

Property, Plant and Equipment [Line Items]

Property, plant and equipment, gross

2,144

2,869

Leasehold improvements [Member] | Minimum [Member]

Property, Plant and Equipment [Line Items]

Estimated useful life (in years)

5 years

Leasehold improvements [Member] | Maximum [Member]

Property, Plant and Equipment [Line Items]

Estimated useful life (in years)

20 years

Computer equipment [Member]

Property, Plant and Equipment [Line Items]

Property, plant and equipment, gross

25,397

35,554

Computer equipment [Member] | Minimum [Member]

Property, Plant and Equipment [Line Items]

Estimated useful life (in years)

3 years

Computer equipment [Member] | Maximum [Member]

Property, Plant and Equipment [Line Items]

Estimated useful life (in years)

7 years

Machinery and equipment [Member]

Property, Plant and Equipment [Line Items]

Property, plant and equipment, gross

6,709

5,648

Machinery and equipment [Member] | Minimum [Member]

Property, Plant and Equipment [Line Items]

Estimated useful life (in years)

3 years

Machinery and equipment [Member] | Maximum [Member]

Property, Plant and Equipment [Line Items]

Estimated useful life (in years)

5 years

Furniture and fixtures [Member]

Property, Plant and Equipment [Line Items]

Property, plant and equipment, gross

1,108

688

Estimated useful life (in years)

5 years

Work in progress [Member]

Property, Plant and Equipment [Line Items]

Property, plant and equipment, gross

$ 421

^[1]

$ 4,281

^[1]

[1]	Work in progress includes production tooling construction in progress

Goodwill (Details) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Goodwill [Roll Forward]
Balance	$ 2,740	$ 2,940	$ 2,873
Currency exchange rate adjustment	(220)	(200)	67
Balance	$ 2,520	$ 2,740	$ 2,940

Other Intangible Assets (Details) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Acquired Finite-Lived Intangible Assets [Line Items]
Indefinite life trademarks	$ 9,052	$ 9,052
Patents	18,154	18,154
Intangible Assets, Gross (Excluding Goodwill)	27,206	27,206
Accumulated amortization - patents	(16,631)	(14,591)
Total other intangible assets, net	10,575	12,615
Amortization expense for intangible assets	2,040	2,050	2,050
2014	828
2015	430
2016	143
2017	65
2018	35
Thereafter	22
Finite-Lived Intangible Assets, Net	$ 1,523
Minimum [Member] \| Patents [Member]
Acquired Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible asset, useful life	8 years
Maximum [Member] \| Patents [Member]
Acquired Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible asset, useful life	16 years

Accrued Liabilities (Details) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
Accrued Liabilities [Abstract]
Payroll and benefits	$ 5,058	$ 4,244
Other	4,793	4,879
Accrued liabilities	$ 9,851	$ 9,123

- Definition

Carrying value as of the balance sheet date of obligations incurred through that date and payable arising from transactions not otherwise specified in the taxonomy. Used to reflect the current portion of the liabilities (due within one year or within the normal operating cycle if longer).

+ References+ Details

Product Warranties (Details) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Movement in Product Warranty Liability [Roll Forward]
Beginning Balance	$ 1,638	$ 2,492	$ 2,017
Accruals	2,264	1,097	2,615
Adjustments	0	(186)	(170)
Payments	(1,656)	(1,765)	(1,970)
Ending Balance	$ 2,246	$ 1,638	$ 2,492

Borrowings (Loan Agreement) (Details) (USD $)	Dec. 31, 2014
Debt Disclosure [Abstract]
Maximum revolving secured credit line	$ 20,000,000
Borrowing rate under agreement, at period end	1.17%
Standby letters of credit outstanding	600,000
Avaiable for borrowing under line of credit	19,400,000
Line of Credit Facility, Amount Outstanding	$ 0

Borrowings (Notes) (Details) (USD $)		12 Months Ended
Borrowings (Notes) (Details) (USD $)	Mar. 31, 2012 Increasing Rate Senior Discount Notes [Member]	Dec. 31, 2012 Notes Payable, Other Payables [Member] Sherborne [Member]	Dec. 31, 2014 Notes Payable, Other Payables [Member] Sherborne [Member]	Sep. 30, 2010 Notes Payable, Other Payables [Member] Sherborne [Member]
Debt Instrument [Line Items]
Aggregate principal at maturity			$ 6,100,000
Original principal amount				5,000,000
Interest expense		$ 500,000
Stated interest rate through maturity date	8.70%
Effective rate of interest	6.40%

Income Taxes - Income (Loss) Before Tax (Details) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Income Tax Disclosure [Abstract]
United States	$ 29,115	$ 15,386	$ 10,025
Non-U.S.	1,109	653	391
Income from continuing operations before income taxes	$ 30,224	$ 16,039	$ 10,416

Income Taxes - Expense (Details) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Current:
U.S. federal	$ 1,086	$ 541	$ (579)
U.S. state	100	56	53
Non-U.S.	222	(12)	155
Total current	1,408	585	(371)
Deferred:
U.S. federal	8,913	(29,552)	177
U.S. state	(558)	(3,370)	17
Non-U.S.	78	252	(49)
Total deferred	8,433	(32,670)	145
Total income tax expense (benefit)	$ 9,841	$ (32,085)	$ (226)

Income Taxes - Deferred Tax Assets and Liabilities (Details) (USD $)	3 Months Ended		12 Months Ended
	Dec. 31, 2014	Jun. 30, 2013	Dec. 31, 2014	Dec. 31, 2013
Valuation Allowance [Line Items]
Equity Increase, Deferred Tax Realization			$ 800,000
Components of Deferred Tax Assets and Liabilities [Abstract]
Accrued liabilities	3,510,000		3,510,000	3,230,000
Allowance for doubtful accounts	33,000		33,000	20,000
Inventory valuation	377,000		377,000	312,000
Capitalized indirect inventory costs	295,000		295,000	159,000
Stock-based compensation expense	558,000		558,000	376,000
Net operating loss carryforward	19,742,000		19,742,000	35,635,000
Basis difference on long-lived assets	3,289,000		3,289,000	4,412,000
Credit carryforward	4,565,000		4,565,000	3,422,000
Other	339,000		339,000	332,000
Total deferred income tax assets before valuation allowance	32,708,000		32,708,000	47,898,000
Valuation allowance	(6,156,000)		(6,156,000)	(12,944,000)
Total deferred income tax assets, net of valuation allowance	26,552,000		26,552,000	34,954,000
Prepaid advertising	(467,000)		(467,000)	(793,000)
Other prepaids	(696,000)		(696,000)	(592,000)
Basis difference on long-lived assets	3,355,000		3,355,000	2,938,000
Undistributed earnings of foreign subsidiaries	(179,000)		(179,000)	(177,000)
Other	(1,000)		(1,000)	(288,000)
Deferred income tax liabilities	(4,698,000)		(4,698,000)	(4,788,000)
Net deferred income tax asset	21,854,000		21,854,000	30,166,000
Number of Years Cumulative Income or Loss Evaluated		3 years
Income tax benefit due to reduction of existing valuation allowance	1,200,000	35,800,000		38,900,000
Loss and Other Credit Carryforward [Member]
Components of Deferred Tax Assets and Liabilities [Abstract]
Valuation allowance	(2,900,000)		(2,900,000)
Foreign Operating Loss Carryforward [Member]
Components of Deferred Tax Assets and Liabilities [Abstract]
Valuation allowance	$ (3,300,000)		$ (3,300,000)

Income Taxes - Deferred Tax Liability (Details) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
Net Deferred Income Tax Liability [Abstract]
Deferred income tax assets	$ 12,368	$ 4,441
Long-term deferred income tax assets	9,546	25,725
Non-current deferred income tax liabilities	(60)	0
Net deferred income tax asset	$ 21,854	$ 30,166

- Definition

Amount after allocation of valuation allowances of deferred tax asset attributable to deductible temporary differences and carryforwards expected to be realized or consumed within one year or operating cycle, if longer.

+ References+ Details

- Definition

Amount after allocation of valuation allowances of noncurrent deferred tax asset attributable to deductible temporary differences and carryforwards. Noncurrent assets are expected to be realized or consumed after one year (or the normal operating cycle, if longer).

+ References+ Details

Income Taxes - Reconciliation (Details) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Income Tax Disclosure [Abstract]
U.S. statutory income tax rate	35.00%	35.00%	35.00%
State tax, net of U.S. federal tax benefit	2.50%	2.90%	1.10%
Non-U.S. income taxes	(0.30%)	1.20%	0.00%
Nondeductible incentive stock option expense	0.20%	(0.40%)	0.40%
Research and development credit	(2.40%)	(0.70%)	0.00%
Change in deferred tax measurement rate	0.10%	0.20%	0.10%
Change in uncertain tax positions	1.50%	2.20%	(6.50%)
Expiration of capital loss carryforward	0.00%	26.90%	0.00%
Valuation allowance	(4.10%)	(267.60%)	(32.30%)
Other	0.10%	0.20%	0.00%
Effective income tax rate for continuing operations	32.60%	(200.10%)	(2.20%)
Valuation allowance	$ 6,156	$ 12,944

Income Taxes - Carryforwards (Details) (USD $) In Millions, unless otherwise specified	Dec. 31, 2014
Federal
Operating Loss Carryforwards [Line Items]
Net operating loss carryforwards	$ 37.2
Income tax credit carryforwards	3.6
State
Operating Loss Carryforwards [Line Items]
Net operating loss carryforwards	85.3
Income tax credit carryforwards	0.4
Switzerland
Operating Loss Carryforwards [Line Items]
Net operating loss carryforwards	15.0
Italy
Operating Loss Carryforwards [Line Items]
Net operating loss carryforwards	$ 1.2

Income Taxes - Unrecognized Tax Benefits (Details) (USD $)	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward]
Unrecognized tax benefits, beginning of year	$ 1,964,000	$ 2,530,000	$ 4,376,000
Additions for tax positions taken in prior years	72,000	166,000	0
Reductions for tax positions taken in prior years	0	(472,000)	(972,000)
Additions for tax positions related to the current year	821,000	54,000	0
Lapses of statutes of limitations	(89,000)	(314,000)	(874,000)
Unrecognized tax benefits, end of year	2,768,000	1,964,000	2,530,000
Unrecognized tax benefits that would impact effective tax rate, if recognized	2,500,000
Unrecognized Tax Benefits, Income Tax Penalties and Interest Expense	400,000	0	100,000
Cumulative liability for interest and penalties related to uncertain tax positions	2,000,000	1,600,000
Previously unrecognized tax benefit likely to be recognized within the next 12 months	$ 300,000

Stock-Based Compensation (Detail)				12 Months Ended
Stock-Based Compensation (Detail)	Dec. 31, 2014	Dec. 31, 2014 2005 Long Term Incentive Plan [Member]	Jun. 06, 2005 2005 Long Term Incentive Plan [Member]	Dec. 31, 2014 Stock Options [Member] 2005 Long Term Incentive Plan [Member]	Dec. 31, 2014 Stock Options [Member] Minimum [Member]	Dec. 31, 2014 Stock Options [Member] Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period					3 years	4 years
Expected life (years)				7 years
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized			4,000,000
Reduction in number of shares available for issuance due to settlement of stock appreciation rights and stock unit or performance unit award		2
Reduction in number of shares available for issuance due to settlement of stock option award		1
Shares available for issuance		3,700,000
Maximum aggregate shares of common stock subject to stock options, appreciation rights, restricted stock or performance stock unit awards		1,000,000.0
Common stock, shares reserved for future issuance	4,756,000

Stock-Based Compensation - Stock Options (Details) (USD $) Share data in Thousands, except Per Share data, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Stock Option Activity and Outstanding Options
Options outstanding	993
Granted	154
Forfeited, cancelled or expired	(252)
Exercised	(97)
Options outstanding	798	993
Stock Option Activity and Weighted-Average Exercise Price
Options outstanding, Weighted Average Exercise Price	$ 6.73
Granted, Weighted Average Exercise Price	$ 8.52
Forfeited, canceled or expired, Weighted Average Exercise Price	$ 16.46
Exercises, Weighted Average Exercise Price	$ 3.90
Options outstanding, Weighted Average Exercise Price	$ 4.41	$ 6.73
Options outstanding, Aggregate Intrinsic Value	$ 8,600,000
Options outstanding, Weighted-Average Remaining Contractual Life	4 years 3 months 18 days
Options exercisable, Number of Options Exercisable	500
Options exercisable, Weighted-Average Exercise Price	$ 3.25
Options exercisable, aggregate intrinsic value	6,000,000
Options exercisable, Weighted average remaining contractual term	3 years 4 months 24 days
Vested and expected to vest	797
Vested and expected to vest, Weighted Average Exercise Price	$ 4.41
Vested and expected to vest, Aggregate Intrinsic Value	8,600,000
Vested and expected to vest, remaining contractual term (in years)	4 years 3 months 18 days
Weighted average grant-date fair value of stock options granted	$ 5.36	$ 4.37	$ 1.89
Stock Options [Member]
Stock Option Activity and Weighted-Average Exercise Price
General and administrative	592,000	337,000	355,000
Compensation expense for unvested stock options	$ 700,000
Weighted average period for unvested stock options	1 year 6 months

Stock-Based Compensation - Stock-based Compensation (Details) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation	$ 1,066	$ 454	$ 630
Stock Options [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
General and administrative	592	337	355
Restricted Stock Units [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
General and administrative	121	54	188
Performance Stock Units [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
General and administrative	$ 353	$ 63	$ 87

Stock-Based Compensation- Restricted Stock Units (Details) (Restricted Stock Units [Member], USD $)	12 Months Ended
	Dec. 31, 2014
Restricted Stock Units [Member]
Restricted Stock Units Activity and Outstanding
Stock units outstanding	139,000
Granted	29,000
Forfeited	0
Vested	(81,000)
Stock units outstanding	87,000
Restricted Stock Units Activity and Weighted Average Grant Date Fair Value per Share
Stock units outstanding, Weighted Average Grant Date Fair Value	$ 3.58
Granted, Weighted Average Grant Date Fair Value	$ 8.86
Forfeited, Weighted Average Grant Date Fair Value	$ 0.00
Vested, Weighted Average Grant Date Fair Value	$ 10.78
Stock units outstanding, Weighted Average Grant Date Fair Value	$ 5.93

Stock-Based Compensation - Performance Stock Units (Details) (USD $)	12 Months Ended	1 Months Ended				7 Months Ended	1 Months Ended	7 Months Ended	1 Months Ended	7 Months Ended
	Dec. 31, 2014 Performance Shares [Member]	Apr. 30, 2010 Key Executive Employees Member [Member]	Feb. 28, 2014 Key Executive Employees Member [Member] Performance Shares [Member]	May 31, 2013 Key Executive Employees Member [Member] Performance Shares [Member]	Apr. 30, 2010 Key Executive Employees Member [Member] Performance Shares [Member]	Aug. 31, 2012 Key Executive Employees Member [Member] Performance Shares [Member]	May 31, 2013 Minimum [Member]	Aug. 31, 2012 Minimum [Member]	May 31, 2013 Maximum [Member]	Aug. 31, 2012 Maximum [Member]
Performance Stock Units Activity and Outstanding
Stock units outstanding	84,000
Granted	82,000		82,494	24,500	146,000	82,000
Forfeited, canceled or expired	0
Vested	0
Stock units outstanding	166,000
Performance Stock Units Activity and Weighted Average Grant Date Fair Value per Share
Stock units outstanding, Weighted Average Grant Date Fair Value	$ 3.76
Granted, Weighted Average Grant Date Fair Value	$ 8.22
Forfeited, Canceled, or Expired, Weighted Average Grant Date Fair Value per Share	$ 0.00
Vested, Weighted Average Grant Date Fair Value	$ 0.00
Stock units outstanding, Weighted Average Grant Date Fair Value	$ 5.97
Vesting period		3 years
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Percentage of Award Able to Vest							60.00%	60.00%	150.00%	150.00%

Stock-Based Incentive Plan and Stock-Based Compensation Stock Compensation, Other (Details) (USD $) In Thousands, except Per Share data, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted average grant-date fair value of stock options granted	$ 5.36	$ 4.37	$ 1.89
Total intrinsic value of stock options exercised	$ 736	$ 451	$ 33
Restricted Stock Units [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Fair value of units vested	1	1	0
Performance Shares [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Fair value of units vested	$ 0	$ 0	$ 0

Stock-Based Incentive Plan and Stock-Based Compensation Fair Value Assumptions (Details)	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Equity [Abstract]
Dividend yield	0.00%	0.00%	0.00%
Risk-free interest rate	1.70%	0.90%	0.90%
Expected life (years)	4 years 9 months	4 years 9 months	4 years 9 months
Expected volatility	80.00%	89.00%	92.00%

Stock Repurchase Program (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014
Stock Repurchase Program [Abstract]
Stock Repurchase Program, Authorized Amount	$ 15
Stock Repurchase Program, Period in Force	24 months
Stock Repurchase Program Expiration Date	Nov. 03, 2016

Income (Loss) Per Share (Details) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Income per share:
Basic weighted average shares outstanding	31,253	31,072	30,851
Dilutive potential common shares	435	385	123
Diluted weighted average shares outstanding	31,688	31,457	30,974
Stock Options [Member]
Income per share:
Anti-dilutive securities excluded from computation of diluted income per share	225	304	1,072
Performance Stock Units [Member]
Income per share:
Anti-dilutive securities excluded from computation of diluted income per share	0	12	26

- Definition

Securities (including those issuable pursuant to contingent stock agreements) that could potentially dilute basic earnings per share (EPS) or earnings per unit (EPU) in the future that were not included in the computation of diluted EPS or EPU because to do so would increase EPS or EPU amounts or decrease loss per share or unit amounts for the period presented.

+ References+ Details

Segment Information (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended								12 Months Ended
	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2014 segment	Dec. 31, 2013	Dec. 31, 2012
Segment Reporting Information [Line Items]
Number of Reportable Segments									2
Net sales	$ 94,931	$ 59,067	$ 48,546	$ 71,903	$ 77,091	$ 46,256	$ 36,242	$ 59,214	$ 274,447	$ 218,803	$ 193,926
Consolidated contribution									48,255	30,922	25,391
Operating Expenses									110,421	90,753	80,449
Reconciliation of consolidated contribution to income (loss) from continuing operations:
Selling and marketing									81,059	66,486	58,617
Income tax expense									(9,841)	32,085	226
Income from continuing operations	10,473	2,664	1,498	5,748	8,432	1,500	32,668	5,524	20,383	48,124	10,642
Depreciation and amortization expense									4,024	3,344	3,269
Assets	175,654				143,567				175,654	143,567
UNITED STATES
Segment Reporting Information [Line Items]
Net sales									231,230	181,381	167,504
CANADA
Segment Reporting Information [Line Items]
Net sales									35,367	34,166	24,977
All Other
Segment Reporting Information [Line Items]
Net sales									7,850	3,256	1,445
Direct [Member]
Segment Reporting Information [Line Items]
Net sales									175,593	136,663	124,978
Consolidated contribution									29,345	14,126	12,479
Reconciliation of consolidated contribution to income (loss) from continuing operations:
Depreciation and amortization expense									1,913	1,956	2,366
Assets	25,263				21,249				25,263	21,249
Retail [Member]
Segment Reporting Information [Line Items]
Net sales									93,223	76,775	63,891
Consolidated contribution									13,279	11,431	7,855
Reconciliation of consolidated contribution to income (loss) from continuing operations:
Depreciation and amortization expense									643	642	825
Assets	37,203				32,023				37,203	32,023
Unallocated royalty income [Member]
Segment Reporting Information [Line Items]
Net sales									5,631	5,365	5,057
Consolidated contribution									5,631	5,365	5,057
Unallocated corporate [Member]
Reconciliation of consolidated contribution to income (loss) from continuing operations:
Depreciation and amortization expense									1,468	746	78
Assets	113,188				90,295				113,188	90,295
Less expenses not directly related to segments [Member]
Segment Reporting Information [Line Items]
Operating Expenses									(18,101)	(15,198)	(14,801)
Reconciliation of consolidated contribution to income (loss) from continuing operations:
Other income (expense), net									70	315	(174)
Income tax expense									$ 9,841	$ (32,085)	$ (226)

Commitments and Contingencies (Details) (USD $)	12 Months Ended
Commitments and Contingencies (Details) (USD $)	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Commitments and Contingencies Disclosure [Abstract]
Rent expense under all operating leases	$ 3,625,000	$ 3,473,000	$ 3,218,000
Standy by letters of credit with certain vendors	600,000
Non-cancelable market-based purchase obligation	21,300,000
Estimated future warranty cost	$ 2,246,000	$ 1,638,000	$ 2,492,000	$ 2,017,000

Commitments and Contingencies - Operating Lease (Details) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Commitments and Contingencies Disclosure [Abstract]
Rent expense under all operating leases	$ 3,625	$ 3,473	$ 3,218
2014	4,050
2015	3,990
2016	3,250
2017	2,249
2018	2,575
Thereafter	9,803
Total minimum non-cancelable lease payments, net	$ 25,917

Supplementary Information - Quarterly Results of Operations (Details) (USD $)

3 Months Ended

12 Months Ended

Dec. 31, 2014

Sep. 30, 2014

Jun. 30, 2014

Mar. 31, 2014

Dec. 31, 2013

Sep. 30, 2013

Jun. 30, 2013

Mar. 31, 2013

Dec. 31, 2014

Dec. 31, 2013

Dec. 31, 2012

Quarterly Financial Information Disclosure [Abstract]

Net sales

$ 94,931,000

$ 59,067,000

$ 48,546,000

$ 71,903,000

$ 77,091,000

$ 46,256,000

$ 36,242,000

$ 59,214,000

$ 274,447,000

$ 218,803,000

$ 193,926,000

Gross profit

48,519,000

28,795,000

24,780,000

38,481,000

36,677,000

21,777,000

17,329,000

30,694,000

140,575,000

106,477,000

91,037,000

Operating income (loss)

14,493,000

4,281,000

2,379,000

9,001,000

10,118,000

1,336,000

(1,724,000)

5,994,000

30,154,000

15,724,000

10,588,000

Income from continuing operations

10,473,000

2,664,000

1,498,000

5,748,000

8,432,000

1,500,000

32,668,000

5,524,000

20,383,000

48,124,000

10,642,000

Income (loss) from discontinued operation

(96,000)

(177,000)

(941,000)

(374,000)

116,000

(116,000)

195,000

(365,000)

(1,588,000)

(170,000)

6,241,000

Net income

10,377,000

^[1]

2,487,000

^[1]

557,000

^[1]

5,374,000

^[1]

8,548,000

^[1]

1,384,000

^[1]

32,863,000

^[1]

5,159,000

^[1]

18,795,000

47,954,000

16,883,000

Basic

$ 0.33

$ 0.08

$ 0.02

$ 0.17

$ 0.27

$ 0.04

$ 1.06

$ 0.17

$ 0.60

$ 1.54

$ 0.55

Diluted

$ 0.33

$ 0.08

$ 0.02

$ 0.17

$ 0.27

$ 0.04

$ 1.05

$ 0.17

$ 0.59

$ 1.52

$ 0.55

Income tax benefit due to reduction of existing valuation allowance

$ 1,200,000

$ 35,800,000

$ 38,900,000

[1]	Net income in the quarters ended December 31, 2014 and June 30, 2013 included a $1.2 million and a $35.8 million credit, respectively, related to the reversal of a portion of our deferred tax asset valuation allowance.

Stock Repurchase Program (Notes)	12 Months Ended
Stock Repurchase Program (Notes)	Dec. 31, 2014
Stock Repurchase Program [Abstract]
Stock Repurchase Program	STOCK REPURCHASE PROGRAM On November 3, 2014, our Board of Directors approved a stock repurchase program that authorizes us to repurchase up to $15 million of our outstanding common stock from time to time over a period of 24 months. The repurchase program expires November 3, 2016. Share repurchases will be funded with existing cash balances and repurchased shares will be retired and returned to unissued authorized shares. To date, we have not repurchased any shares pursuant to the program.

Segment Information Segment informaion (Details)	12 Months Ended
Segment Information Segment informaion (Details)	Dec. 31, 2014 segment
Segment Reporting [Abstract]
Number of Reportable Segments	2